In the Equation, GDP = C + I + G

question 255

Multiple Choice

In the equation, GDP = C + I + G + NX, G refers to

• A) local, state, and federal government expenditure on goods and services, but does not include transfer payments.
• B) the taxes and expenditures of all government units.
• C) local, state, and federal government spending for all purposes.
• D) federal government expenditures plus all transfer payments.

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Definitions:

Thrifty Genotype

A hypothesis that suggests certain populations have a genetic predisposition to efficiently store fat to survive famines, which can lead to obesity in environments with plentiful food.

Food Scarcity

A situation where the availability of food is insufficient to meet the needs of the population, leading to hunger and malnutrition.

Dairying People

Groups or cultures that specialize in the production and processing of milk and milk products for consumption.

Obese

A medical condition characterized by excess body fat that presents significant health risks, including diabetes, heart disease, and various types of cancer.