Which of the following statements is false?
A) Net investment is equal to gross investment minus depreciation
B) Government expenditures (G) in the expenditure-based GDP accounting include transfer payments to households.
C) Net exports (NX) are equal to exports (X) minus imports (Z).
D Consumption expenditures (C) in the expenditure-based GDP accounting include expenditures on . goods and services produced in the foreign countries.

Question

Quizplus · Accepted Answer

Government expenditures in GDP accounting do not include transfer payments, as these are not payments for goods or services but rather redistributions of income.

Which of the Following Statements Is False