GNP Includes Output Produced _____ but It Does Not Include

question 271

Multiple Choice

GNP includes output produced _____ but it does not include output produced _____.

• A) outside the United States by U.S. citizens; inside the United States by foreign citizens
• B) outside the United States by U.S. citizens; inside the United States by U.S. citizens
• C) inside the United States by foreign citizens; outside the United States by U.S. citizens
• D) The GNP only includes output (goods and services) produced by U.S. citizens within the United States.

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Definitions:

Total Productivity

Measures the efficiency of all inputs to a production process (labor, capital, materials) in generating the output, considering both qualitative and quantitative aspects.

Total Inputs

The sum of all resources used in the production of goods or services, including labor, capital, and materials.

Productivity

A measure of the efficiency of production, often expressed as the ratio of output to inputs used in a production process.

Inputs

Resources such as labor, capital, materials, and information used in the production of goods or services.