General Motors Corporation (a U.S.-based firm) produces a Saab vehicle in Sweden, and sells it in the United States. In which country's GDP is it included?
A) Sweden and the United States
B) The United States because it was sold there
C) The United States because GM is a U.S. company
D) Sweden because it was produced there

Question

Quizplus · Accepted Answer

GDP is calculated based on the location of production, not the location of sale or the nationality of the company. Since the vehicle was produced in Sweden, it is included in Sweden's GDP.

General Motors Corporation (A U