What does M represent in the following formula? GDP = C + I + G + (X - M)
A) exports
B) government spending
C) personal consumer spending
D) imports

Question

Quizplus · Accepted Answer

In the formula GDP = C + I + G + (X - M), M represents imports. GDP is calculated by adding up personal consumer spending (C), investments (I), government spending (G), and exports (X) minus imports (M). Therefore, D is the correct choice as it represents imports.

What Does M Represent in the Following Formula? GDP =