Used car dealerships add nothing to GDP because the cars they sell were already recorded in GDP when they were new.

Question

Quizplus · Accepted Answer

While the cars themselves were already recorded in GDP when they were new, the sale of used cars by dealerships contributes to GDP by adding to the value of final goods and services sold in the economy. The markup on the sale of a used car by a dealership counts as value added to the economy and therefore contributes to GDP.

Used Car Dealerships Add Nothing to GDP Because the Cars