he end of the year: you sell trees Lei cut down for $27,000; you pay Lei $15,000; and your saw is now worth $1,000. on this information, how much GDP has been created?

Economics:
10th Edition
ISBN:9781285859460
Author:BOYES, William
Publisher:BOYES, William
Chapter2: Scarcity And Opportunity Costs
Section: Chapter Questions
Problem 14E
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At the beginning of the year, you have a saw worth $2,000 and a bunch of trees.
says it will pay you $4,000 to not cut down your trees.
Freaks4Environment
Instead, you hire Lei to use your saw to cut down all of the trees.
At the end of the year:
you sell trees Lei cut down for $27,000;
you pay Lei $15,000; and
your saw is now worth $1,000.
Based on this information, how much GDP has been created?
Round to two decimal places. Do not enter the currency symbol, but enter the negative sign if appropriate. If
your answer is -$1.125, enter -1.13.
27,000
Transcribed Image Text:At the beginning of the year, you have a saw worth $2,000 and a bunch of trees. says it will pay you $4,000 to not cut down your trees. Freaks4Environment Instead, you hire Lei to use your saw to cut down all of the trees. At the end of the year: you sell trees Lei cut down for $27,000; you pay Lei $15,000; and your saw is now worth $1,000. Based on this information, how much GDP has been created? Round to two decimal places. Do not enter the currency symbol, but enter the negative sign if appropriate. If your answer is -$1.125, enter -1.13. 27,000
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