Which balance-of-payments item does not directly enter into the calculation of the U.S.gross domestic product?
A) merchandise imports
B) shipping and transportation receipts
C) direct foreign investment
D) service exports

Question

Quizplus · Accepted Answer

Direct foreign investment does not directly enter into the calculation of the US gross domestic product because it refers to investments made by US residents in foreign countries, not domestic economic activity. Merchandise imports, shipping and transportation receipts, and service exports all have a direct impact on the calculation of the US GDP.

Which Balance-Of-Payments Item Does Not Directly Enter into the Calculation