Which of the following would not be included in aggregate expenditures?
A) New military equipment purchased by the federal government
B) New computers purchased by a law firm
C) Social security payments made by the government to retirees
D) Tuition payments made by college students

Question

Quizplus · Accepted Answer

Social security payments made by the government to retirees represent transfer payments and are not considered part of aggregate expenditures as they do not represent actual production and consumption of goods and services. The other options all involve actual purchases of goods or services and would be included in aggregate expenditures.

Which of the Following Would Not Be Included in Aggregate