When computing GDP via the income approach,we must include

Question

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The income approach to GDP calculation includes all of the income earned within an economy – wages, rents, interest, and profits. To ensure accuracy we subtract depreciation and indirect business taxes. Gross investment (B) is not included because it implies counting the same activity twice (once as investment and again as income earned), while exports minus imports (A) is measured via the expenditure approach. Household savings and consumption (D) are also measured via the expenditure approach. Finally, government purchases of goods and services (E) represent expenditures and is accounted for via expenditure approach.

When Computing GDP Via the Income Approach,we Must Include