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If the consumption expenditure increases to Rs. 35,000, gross investment increases to Rs. 45,000, government spending remains at Rs. 20,000, exports remain at Rs. 68,000 and imports increase to Rs. 65,000, what would be the new GDP using the expenditure approach?
  • a)
    Rs. 100,000
  • b)
    Rs. 101,000
  • c)
    Rs. 102,000
  • d)
    Rs. 103,000
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
If the consumption expenditure increases to Rs. 35,000, gross investme...
GDP = C+I+G+(X-M) = 35000+45000+20000+(68000-65000) = 103,000
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If the consumption expenditure increases to Rs. 35,000, gross investme...
Calculating the New GDP using the Expenditure Approach

- **Given Data:**
- Consumption expenditure = Rs. 35,000
- Gross investment = Rs. 45,000
- Government spending = Rs. 20,000
- Exports = Rs. 68,000
- Imports = Rs. 65,000
- **Calculating GDP using the Expenditure Approach:**
- GDP = Consumption expenditure + Gross investment + Government spending + (Exports - Imports)
- New GDP = Rs. 35,000 + Rs. 45,000 + Rs. 20,000 + (Rs. 68,000 - Rs. 65,000)
- New GDP = Rs. 35,000 + Rs. 45,000 + Rs. 20,000 + Rs. 3,000
- New GDP = Rs. 103,000
Therefore, the new GDP using the expenditure approach would be Rs. 103,000. The correct answer is option 'D'.
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If the consumption expenditure increases to Rs. 35,000, gross investment increases to Rs. 45,000, government spending remains at Rs. 20,000, exports remain at Rs. 68,000 and imports increase to Rs. 65,000, what would be the new GDP using the expenditure approach?a)Rs. 100,000b)Rs. 101,000c)Rs. 102,000d)Rs. 103,000Correct answer is option 'D'. Can you explain this answer?
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If the consumption expenditure increases to Rs. 35,000, gross investment increases to Rs. 45,000, government spending remains at Rs. 20,000, exports remain at Rs. 68,000 and imports increase to Rs. 65,000, what would be the new GDP using the expenditure approach?a)Rs. 100,000b)Rs. 101,000c)Rs. 102,000d)Rs. 103,000Correct answer is option 'D'. Can you explain this answer? for Bank Exams 2024 is part of Bank Exams preparation. The Question and answers have been prepared according to the Bank Exams exam syllabus. Information about If the consumption expenditure increases to Rs. 35,000, gross investment increases to Rs. 45,000, government spending remains at Rs. 20,000, exports remain at Rs. 68,000 and imports increase to Rs. 65,000, what would be the new GDP using the expenditure approach?a)Rs. 100,000b)Rs. 101,000c)Rs. 102,000d)Rs. 103,000Correct answer is option 'D'. Can you explain this answer? covers all topics & solutions for Bank Exams 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for If the consumption expenditure increases to Rs. 35,000, gross investment increases to Rs. 45,000, government spending remains at Rs. 20,000, exports remain at Rs. 68,000 and imports increase to Rs. 65,000, what would be the new GDP using the expenditure approach?a)Rs. 100,000b)Rs. 101,000c)Rs. 102,000d)Rs. 103,000Correct answer is option 'D'. Can you explain this answer?.
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