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What is GDP? What is the difference between real GDP and nominal GDP. Identify the different parts GDP can be broken down into. Which of these parts is the most important in an advanced economy? Identify the share each part has in the economy of your country.
Identify the fluctuations of GDP in your country over the last twenty years. Determine the causes of the changes in GDP and show the relationship between the changes in GDP and the changes in Consumption, Savings and Investment. Support your answers with data.
Identify what how the government has reacted – changes in taxation and Govt. Spending – and the impact (if any) of these changes on GDP
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