Question
Components of GDP Investment Consumption Net Exports Government Spending The components listed above are similar because they are all - Fixed prices for goods and services set by the government Required to determine a country's economic growth Used by economists to calculate the unemployment rate Shift according to consumer tastes
Answer
4.3
(184 Votes)
Paul
Professional · Tutor for 6 years
Answer
Required to determine a country's economic growth
Explanation
The components listed — Consumption, Investment, Government Spending, and Net Exports — are integral to the calculation of a country's Gross Domestic Product (GDP). GDP is a key measure used by economists to determine the economic performance and growth of a country. Each of these components represents a portion of the total economic activity within a nation:- Consumption represents household expenditures.- Investment refers to business expenditures on capital.- Government Spending encompasses government expenditures on goods and services.- Net Exports is the value of a country's exports minus its imports.