Gross Domestic Product equals
A)Y = C + I - G + NX.
B)Y = C - I + G + NX.
C)Y = C + I + G + NX.
D)Y = C - I - G - NX.
E)Y = C + I + G - NX.

Question

Quizplus · Accepted Answer

The correct formula for GDP calculation is Y = C + I + G + NX, where C stands for consumption, I for investment, G for government spending, and NX for net exports. This formula captures all the components of a country's economy and reflects the total amount of goods and services produced within its borders in a given period. Answer C is the only option that matches this equation.

Gross Domestic Product Equals