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How Does Net Domestic Income Differ from Gross Domestic Product

Question 73

Multiple Choice

How does net domestic income differ from gross domestic product? Net domestic income is GDP minus


A) that part of it not actually paid to households, plus transfer payments to households.
B) that part of it not actually paid to households, plus transfer payments to households, minus personal taxes paid by households.
C) the sum of corporate, personal and sales taxes paid to the government.
D) replacement investment.
E) that part of it not actually paid to households, minus personal income taxes paid by households.

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