In calculating GDP, we must
A)add the market value of imports and subtract the market value of exports.
B)add the market value of exports and subtract the market value of imports.
C)exclude net exports of goods and services (NX).
D)subtract the market value of imports, because these goods are produced in a country other than the United States, and subtract the market value of exports, because these goods are consumed in a country other than the United States.
E)add the value of the goods produced outside of the United States by American firms.

Question

Quizplus · Accepted Answer

GDP is calculated by adding the market value of exports and subtracting the market value of imports to account for net exports, which reflects the value of goods and services produced domestically.

In Calculating GDP, We Must