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determine the contribution to the current year's GDP. Explain the effects on the product, income, and expenditure accounts. A retail firms replaces its rental car
determine the contribution to the current year's GDP. Explain the effects on the product, income, and expenditure accounts.
A retail firms replaces its rental car fleet.It buys $100M from an automaker, sells the old fleet for $40M to a consortium, which is in turn sold to the public for $60M.
A foreign company builds an auto plant in Detroit for $100 million, using only local labor and materials.
I am wondering if all three accounts should always move in the same way, and I am not sure what the answer is.
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