Under the expenditure approach to GDP accounting,what category includes changes in inventories?
A)consumption
B)government purchases
C)net exports
D)investment

Question

Quizplus · Accepted Answer

Changes in inventories are considered part of investment in the expenditure approach to GDP accounting because they represent the production of goods that have not yet been sold. Investment includes all purchases of capital goods, such as machinery and equipment, and changes in inventories.

Under the Expenditure Approach to GDP Accounting,what Category Includes Changes