For the Purposes of Calculating GDP Using the Expenditure Approach

question 64

Multiple Choice

For the purposes of calculating GDP using the expenditure approach, which of the following is not included in the government purchases account?

• A)Government purchases of pencils
• B)The payroll of the federal government
• C)Welfare payments to the poor
• D)The government's purchase of a computer

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Definitions:

Social Security

A government system that provides monetary assistance to people with an inadequate or no income, particularly the elderly, disabled, and families with dependent children.

Workers

Individuals engaged in a task or activity, especially for earning wages or a salary.

Income Earners

Individuals or entities that receive earnings from work, investments, or other sources.

Total U.S. Income

The aggregate income earned by individuals and entities within the United States over a specific period.