You buy 50 shares of stock in a telecommunications company for $20 a share and pay $100 commission.How much will this transaction add to GDP?
A)zero
B)$100
C)$1,000
D)$1,100

Question

Quizplus · Accepted Answer

The $100 commission paid to the broker is considered a service and is included in GDP. The purchase of the stock itself is a financial transaction and does not directly affect GDP.

You Buy 50 Shares of Stock in a Telecommunications Company