Exercise 1 Expenditure Share of US GDP looking at the data W

Exercise 1. Expenditure Share of U.S. GDP (looking at the data) We are going to replicate the graph from class. Download the data from the BEA website (https://www.bea.gov/). You should download the annual tables of GDP and the composition by expenditures and income. a) a. Go to Interactive Data and look for the NIPA tables. b. Download the series \"Gross Domestic Product\" and \"Gross Domestic Income by type of Income\" (annual series from 1980 to 2017). Both series are in the section 1 (Domestic Product and Income) of the NIPA tables. Nominal variables are fine. Use the \"modify\" option to select annual vs quarterly and the sample period. c. First Graph: Plot GDP measured as the sum of expenditures and the GDP measured as the sum of income (Aggregate Income). Why aren\'t they identical? Second Graph: Use the expenditure decomposition and plot the expenditure shares of GDP: Consumption share (C/Y), Government purchases share (G/Y), Investment share (I/Y) and Net exports share (NX/Y). Does any of these series show a trend during the selected period? Comment. b) c)

Solution

Gov\'t Receipts, Expenditures & Investment National Income & Product Accounts National Accounts GDP/GNP. ... Relation of Gross Domestic Product, Gross Domestic Purchases, and Final Sales to Domestic Purchasers: Quarterly. ... Relation of Gross Domestic Product, Gross National Product, Net ...BEA Account Code: A191RC

Gross domestic product (GDP), the featured measure of U.S. output, is the market value of the goods and services produced by labor and property located in the United States.For more information, see the Guide to the National Income and Product Accounts of the United States (NIPA) - (http://www.bea.gov/national/pdf/nipaguid.pdf)\"

Suggested Citation:
U.S. Bureau of Economic Analysis, Gross Domestic Product [GDP], retrieved from FRED, Federal Reserve Bank of St. Louis; https://fred.stlouisfed.org/series/GDP, January 25, 2018.