Daniel, a U.S. citizen, travels to Mexico and buys a newly manufactured motorcycle made there. His purchase is included in

Question

Quizplus · Accepted Answer

Gross Domestic Product (GDP) measures the value of goods and services produced within a country's borders. Since the motorcycle was manufactured in Mexico, its value is included in Mexico's GDP regardless of the nationality of the buyer. It is not included in the U.S. GDP because it was not produced in the United States.