Suppose a jar of DeLux popcorn that is ultimately sold to a customer at Friendly Groceries is produced by the following production process: If the corn was grown and the jar of popcorn produced in the year 2015, but the jar was sold at Friendly Groceries in the year 2016, what is the contribution of these transactions to GDP in the year 2015?

Question

Suppose a jar of DeLux popcorn that is ultimately sold to a customer at Friendly Groceries is produced by the following production process:  If the corn was grown and the jar of popcorn produced in the year 2015, but the jar was sold at Friendly Groceries in the year 2016, what is the contribution of these transactions to GDP in the year 2015?

Quizplus · Accepted Answer

Only the value added of Fulton Family Farm and DeLux Popcorn Co., $0.50 plus $2.00 are included in 2015 GDP because the other stage of production occurred in 2016.

Suppose a Jar of DeLux Popcorn That Is Ultimately Sold