Determine whether each of the following transactions contributes to the calculation of GDP as total spending, then,
Question:
Determine whether each of the following transactions contributes to the calculation of GDP as total spending, then, identify the relevant component of GDP ( C, I, G, or NX ).
a. Goodyear sells tires made in the United States to the Honda plant in Alliston, Ontario for Civics produced and sold in Canada.
b. Molly Maid provides housecleaning services across Canada.
c. Canadian consumers import $300 million of woven apparel from Bangladesh.
d. The Canadian government spent $22 billion on national defence.
e. Entrepreneur and Shark Tank investor Kevin O’Leary purchases 35% of Talbott Teas for $250,000.
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Related Book For
Principles Of Macroeconomics
ISBN: 9781982166649
1st Canadian Edition
Authors: Betsey Stevenson, Justin Wolfers, Philip Oreopoulos, Kevin Milligan
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