Double Counting in the Value Added Approach to GDP Statistics

question 115

Multiple Choice

Double counting in the value added approach to GDP statistics is avoided by

• A)correct accounting of the values of exports and imports
• B)choosing only one method to calculate GDP--either the income or the expenditures method
• C)counting only the value added at each stage of a good's production process
• D)counting the value of final and intermediate goods and services
• E)subtracting the total value of intermediate goods and services from the total value of final goods and services

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