When one uses the expenditure approach to calculate Gross Domestic Product (GDP), which of the following would be included?
A) government spending at the state level
B) household purchases of legal services
C) inventory investment
D) all of the above

Question

Quizplus · Accepted Answer

The expenditure approach includes all final goods and services purchased by households, businesses, government, and net exports. Therefore, government spending at the state level (A), household purchases of legal services (B), and inventory investment (C) would all be included in the calculation of GDP.

When One Uses the Expenditure Approach to Calculate Gross Domestic