The income approach measures GDP by summing
A)the wealth of households, business and government.
B)the total production of all final goods and services produced in a year within a country's borders.
C)C + I + G + NX.
D)the incomes paid households for the resources they own.
E)Both answers A and D are correct.

Question

Quizplus · Accepted Answer

The income approach to GDP calculates it by summing up all the incomes paid to households for the resources they provide, such as wages, rents, interest, and profits.

The Income Approach Measures GDP by Summing