The three methods for computing GDP include

Question

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The three methods for computing GDP are the expenditure approach, which adds up all spending on final goods and services; the value-added approach, which adds up the value added at each stage of production; and the factor payments approach, which adds up all payments to labor and capital for their contributions to production. Option A correctly lists all three methods. Option B incorrectly includes the productivity approach, which is not a method for computing GDP. Option C incorrectly lists the value-added approach first, which is not the typical order. Option D incorrectly includes the productivity approach instead of the expenditure approach. Option E incorrectly includes the output approach instead of the value-added approach.

The Three Methods for Computing GDP Include