The local Nissan dealership has an increase in inventory of 25 cars in 2015.How will the sale of all 25 cars in 2016 affect the GDP?
A) The value of the cars will be counted as part of GDP in 2015 but not in 2016.
B) The value of the cars will not affect the 2015 GDP,but will be included in 2016 GDP.
C) The value of the cars will be included in both 2015 and 2016 GDP.
D) The value of the cars will not be included in GDP in 2015 or 2016.

Question

Quizplus · Accepted Answer

The cars are counted as inventory investment in 2015 GDP, and when sold in 2016, they do not affect GDP again as they were already accounted for.

The Local Nissan Dealership Has an Increase in Inventory of 25