U.S. exports are
A) not included in U.S. GDP because they are consumed abroad
B) included in U.S. GDP because they are produced domestically
C) included in U.S. GDP because they represent an increase in inventories
D) included in U.S. GDP as government purchases because the government decides what goods may be exported
E) not included in U.S. GDP because they are not subject to a tariff

Question

Quizplus · Accepted Answer

U.S. exports are included in U.S. GDP because they are produced domestically. GDP measures the total market value of all final goods and services produced within a country's borders, regardless of whether they are consumed domestically or abroad. Therefore, exports contribute to the overall economic activity and are included in the calculation of GDP.

U.S. Exports Are