The most volatile component of real GDP is:
A) consumption spending.
B) government spending.
C) investment spending.
D) net exports.

Question

Quizplus · Accepted Answer

Investment spending is the most volatile component of real GDP because it is heavily influenced by changes in business sentiment, interest rates, and the overall economic outlook. Consumption spending, government spending, and net exports tend to be more stable over time.

The Most Volatile Component of Real GDP Is