ECONOMICS
GDP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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C+X+G+Y
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C-I-G-Xn
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C+I+G+Xn
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I+G-Xn-Xi
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Detailed explanation-1: -GDP = private consumption + gross private investment + government investment + government spending + (exports – imports). GDP is usually calculated by the national statistical agency of the country following the international standard.
Detailed explanation-2: -The formula for GDP is: GDP = C + I + G + (X-M). C is consumer spending, I is business investment, G is government spending, and (X-M) is net exports.
Detailed explanation-3: -The formula to calculate the components of GDP is Y = C + I + G + NX. 2 That stands for: GDP = Consumption + Investment + Government + Net Exports, which are imports minus exports. In 2019, U.S. GDP was 70% personal consumption, 18% business investment, 17% government spending, and negative 5% net exports.
Detailed explanation-4: -This is often written as C + I + G + (X-M), where C is personal consumption expenditures, I is investment, G is government purchases of goods and services, X is exports, and M is imports. Together, this is all of Gross Domestic Product, or GDP.