Which of the Following Describes the Relationship Between GDP and Government

question 164

Multiple Choice

Which of the following describes the relationship between GDP and government spending?

• A) Government spending = GDP + consumption + private investment - exports - imports
• B) Government spending = GDP - consumption - private investment - exports - imports
• C) Government spending = GDP - consumption - private investment + exports + imports
• D) Government spending = GDP - consumption - private investment - exports + imports
• E) Government spending = GDP + consumption - private investment + exports - imports

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Definitions:

Direct Exporting

The process of selling goods directly from a manufacturer to foreign markets without intermediaries.

Selected Markets

Specified segments of the broader market that a company chooses to target for its marketing efforts, products, or services.

Direct Exporting

The sale of products directly to customers or retailers in another country, without the involvement of intermediaries.

Increased Profits

A rise in the amount of net earnings gained from business operations after all costs have been subtracted.