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Dr White owns a candy manufacturing company called Baby Blue.The following transactions take place in the US. (Baby Blue is a US company.) Baby Blue

Dr White owns a candy manufacturing company called "Baby Blue".The following transactions take place in the US. (Baby Blue is a US company.)

  1. Baby Blue sells candy to a US household for Halloween.
  2. Baby Blue sells candy to the US Congress.
  3. Baby Blue buys a sugar-refining machine from another US company.
  4. Baby Blue sells candy to a household in the Czech Republic.

In the expenditure approach to measuring US GDP, transactions inBox 1would appear as (C = Consumption, I = Investment, G = Government Spending, X = Exports, M = Imports):

(1) C; (2) G; (3) C; (4) X

(1) C; (2) G; (3) I; (4) M

(1) C; (2) G; (3) I; (4) X

(1) C; (2) C; (3) I; (4) X

(1) I; (2) G; (3) I; (4) X

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