Question : Which of the following is not included in the calculation of GDP?
Option 1: Exports
Option 2: Imports
Option 3: Government purchases of goods and services
Option 4: Transfer payments
Correct Answer: Transfer payments
Solution : The correct answer is d) Transfer payments.
Transfer payments are not included in the calculation of GDP. GDP (Gross Domestic Product) is a measure of the total value of goods and services produced within a country's borders during a specific time period. It is calculated by summing up various components of economic activity.
Transfer payments, such as welfare payments, unemployment benefits, or pensions, are not included in the calculation of GDP because they do not reflect current production or economic activity.
Option 1: Government purchases of goods and services
Option 2: Consumer spending on durable goods
Option 3: Net exports
Question : Which of the following is included in the calculation of GDP?
Option 1: Intermediate goods
Option 2: Final goods and services
Option 3: Secondhand goods
Option 1: Net exports
Option 2: Government purchases of goods and services
Option 3: Consumer spending on non-durable goods
Option 4: Capital gains
Question : Which of the following is NOT included in the calculation of GDP?
Option 2: Final goods
Option 3: Value of exports
Option 4: Value of imports
Question : A favorable balance of payments occurs when the value of ________________exceeds the value of_______________.
Option 1: imports, exports
Option 2: exports, imports
Option 3: income, transfers
Option 4: services, goods
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