Which of the following is not a component of GDP in the expenditures approach?
A) Government purchases
B) Workers' wages and other compensation
C) Gross private domestic investment
D) The difference between exports and imports

Question

Quizplus · Accepted Answer

Workers' wages and other compensation are not considered as a separate component in the expenditures approach to calculating GDP. Instead, they are included as a factor in the calculation of other components, such as personal consumption expenditures and gross private domestic investment. The components included in the expenditures approach are government purchases, gross private domestic investment, personal consumption expenditures, and net exports (exports minus imports).

Which of the Following Is Not a Component of GDP