Asked by Lauren Danner on May 17, 2024
Verified
GDP is
A) national income after taxes.
B) the total value of all personal consumption expenditures.
C) the market value of final goods and services produced in a given year.
D) equivalent to unemployment.
National Income
The total value of all goods and services produced by a country's residents and businesses, including income from abroad, over a specified period.
Personal Consumption Expenditures
The component of a nation's economy that includes the total amount spent by individuals and households on goods and services.
Market Value
The current price at which an asset or service can be bought or sold in the market.
- Gain insight into the fundamental aspects and explanation of Gross Domestic Product (GDP).
Verified Answer
CD
Curtis DoughtyMay 22, 2024
Final Answer :
C
Explanation :
GDP stands for Gross Domestic Product, which is the market value of final goods and services produced within a country's borders during a given period, usually a year. It does not include taxes or the production of intermediate goods. Therefore, option C is the correct answer. Option A is incorrect because GDP does not include taxes. Option B is incorrect because it only includes personal consumption expenditures and does not account for investments, government spending, and net exports. Option D is incorrect because GDP and unemployment are not equivalent in any way.
Learning Objectives
- Gain insight into the fundamental aspects and explanation of Gross Domestic Product (GDP).