In the Expenditure Approach to GDP, the Largest Component Is

question 292

Multiple Choice

In the expenditure approach to GDP, the largest component is

• A) net exports.
• B) personal consumption expenditures.
• C) gross private domestic investment.
• D) government expenditure on goods and services.

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Definitions:

Oil Prices

The cost per barrel of crude oil as determined by global supply and demand dynamics, geopolitical stability, and production decisions of oil-producing nations.

Unemployment Rate

The percentage of the labor force that is jobless and actively seeking employment.

Reaganomics

The economic policies promoted by U.S. President Ronald Reagan during the 1980s, characterized by tax cuts, reduced social spending, increased military spending, and deregulation of domestic markets.

Deregulation

The process of removing or reducing state regulations, typically in the economic sphere, to encourage more efficient and competitive markets.