When Calculating GDP from the Expenditure Side,which of the Following

question 26

Multiple Choice

When calculating GDP from the expenditure side,which of the following is true of the government purchases component,G_a?

• A)it includes government subsidies to private firms
• B)it is based on the government's planned spending
• C)it includes employment insurance and employment benefits
• D)it excludes transfer payments
• E)it only includes federal government expenditures

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