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12 November, 20:14

Which of the following is included in the investment component of GDP? a. households' purchases of newly constructed homes.

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  1. 12 November, 23:35
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    "D" is the correct answer.

    All of these.

    Explanation:

    NOTE: in this question, options part is missing, The option for the following question is:

    b. Additions to business stock

    c. firms' buy of equipment

    d. All of the above

    Gross Domestic Product is the overall financial or retail value of all completed production of goods and services in a specific period within a country.

    formula to calculate GDP is as follow

    GDP = C + I + G + NX

    where C stands for Private consumption.

    I stands for investment

    G stands for government consummation

    NX for net export (total export - total import)

    GDP use to calculate countries total gross production during a particular year.
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