John is a U.S.citizen who bought a house in Canada.This purchase led to a(n)________.
A) increase in the GDP of Canada
B) decrease in Canada's trade deficit
C) increase in the U.S. GDP
D) decrease in the U.S. GDP

Question

Quizplus · Accepted Answer

The purchase of a house in Canada by a U.S. citizen would not affect Canada's trade deficit or the GDP of the U.S. However, it would contribute to an increase in the GDP of Canada as it represents an injection of money into the Canadian economy.

John Is a U