The expenditures approach to calculating GDP sums consumer spending, gross private domestic investment, government spending, and
A) exports.
B) imports.
C) exports minus imports.
D) imports minus exports.

Question

Quizplus · Accepted Answer

The expenditures approach to calculating GDP includes the net exports, which is calculated as exports minus imports. This accounts for the total spending on domestically-produced goods and services by both residents and non-residents (exports) minus the spending on foreign goods and services (imports).

The Expenditures Approach to Calculating GDP Sums Consumer Spending, Gross