Government Transfer Payments Are NOT Included When Computing GDP Via

question 22

Multiple Choice

Government transfer payments are NOT included when computing GDP via the expenditures approach because they are

• A) included when computing GDP via the income approach.
• B) payments to foreigners for the goods we import.
• C) expressed in current rather than constant dollar terms.
• D) not payments for current production.
• E) incapable of affecting the economic well-being of households.

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Definitions:

Hydrocephalus

A condition characterized by an abnormal buildup of cerebrospinal fluid in the ventricles of the brain.

Cranium

The part of the skull that encloses the brain, consisting of the frontal, parietal, occipital, and temporal bones.

Setting Sun Eyes

A condition where the eyes appear to be driven downward, with the sclera visible above the iris, often indicative of certain neurological disorders.

Sternomastoid

A major muscle in the neck that runs from the sternum and collarbone to the mastoid process of the temporal bone of the skull.