In the national income accounts,all of the following are classified as government purchases except:
A) payments made to the recipients of the public pension system.
B) services provided by police officers.
C) purchases of military hardware.
D) services provided by senators in Ottawa.

Question

Quizplus · Accepted Answer

Payments made to the recipients of the public pension system are classified under transfer payments, not government purchases. Government purchases include all purchases of goods and services by the government, including purchases of military hardware, services provided by police officers, and services provided by senators in Ottawa.

In the National Income Accounts,all of the Following Are Classified