Which approach measures GDP by adding together consumption, investment, government purchases, and net exports?
A) the national spending approach
B) the factor income approach
C) the product approach
D) the value-added approach

Question

Quizplus · Accepted Answer

The national spending approach is also known as the expenditure approach, and it adds up the four components of GDP - consumption, investment, government purchases, and net exports - to calculate the total output of an economy.

Which Approach Measures GDP by Adding Together Consumption, Investment, Government