The firm that printed your textbook bought the paper from XYZ Paper Mills. This purchase of paper ________ part of GDP because the paper is ________ good.

Question

Quizplus · Accepted Answer

The purchase of paper by the textbook firm is not part of GDP because it is considered an intermediate good, which is used in the production of the final good (the textbook). Only final goods and services are included in GDP calculations.

The Firm That Printed Your Textbook Bought the Paper from XYZ