Which of the following activities is counted as part of U.S.GDP?
A) John purchases a counterfeit DVD.
B) Joe watches a free video on YouTube.
C) Jake takes a vacation at a Caribbean resort.
D) Jeff stays in a hotel in Colorado while on a skiing trip.

Question

Quizplus · Accepted Answer

Jeff's stay in the hotel on his ski trip is considered a consumption expenditure and therefore counted as part of U.S. GDP. Choice A is not counted because the purchase of a counterfeit DVD is illegal and not a legitimate economic activity. Choice B is not counted because watching a free video on YouTube does not involve any economic transaction. Choice C is not counted because Jake's vacation in the Caribbean was likely purchased from a foreign country and would not be included in U.S GDP.

Which of the Following Activities Is Counted as Part of U.S.GDP