In 2009, the country of Nerf's imports equaled its exports. Nerf's GDP was $500 million, its consumer expenditure was $380 million, and its investment was $20 million. Nerf's government expenditure on goods and services were _.

Question

Quizplus · Accepted Answer

Since imports equal exports, net exports are zero. GDP is the sum of consumer expenditure, investment, government expenditure, and net exports. Therefore, government expenditure is $500 million (GDP) - $380 million (consumer expenditure) - $20 million (investment) = $100 million.

In 2009, the Country of Nerf's Imports Equaled Its Exports