A Government Purchases That Are Counted as Part of GDP

question 122

Multiple Choice

A government purchases that are counted as part of GDP can be less than the government's total budget because:

• A)government purchases are not counted as part of GDP.
• B)taxes are not counted as part of GDP.
• C)transfer payments are not counted as part of GDP.
• D)only the budget surplus or deficit is counted as part of GDP.

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