In the Equation GDP = C + I + G

question 37

Multiple Choice

In the equation GDP = C + I + G + NX, the G component refers to:

• A)federal government expenditures plus all transfer payments.
• B)the taxes and expenditure of all levels of government.
• C)federal government expenditures on transfer payments, such as pensions and unemployment benefits.
• D)the purchases of final goods and services by all levels of government, excluding transfer payments.