Which of the Following Transactions Would Be Included in GDP

question 33

Multiple Choice

Which of the following transactions would be included in GDP?

• A) Mary buys a used book for $5 at a garage sale.
• B) Nick buys $5,000 worth of stock in Microsoft.
• C) Olivia receives a tax refund of $500.
• D) Peter buys a newly constructed house.

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Definitions:

Modernization Theory

A perspective that suggests societies progress linearly from traditional to modern states, focusing on economic and technological development.

Technological Change

The innovation or development in technology, significantly altering the way society functions or individuals interact.

Plastic Water Bottles

Containers made from plastic materials used for holding and carrying water; often criticized for their environmental impact.

Environmental Problem

An issue arising from human activities or natural processes that negatively impacts the natural environment, leading to ecological imbalance or degradation.