The Purchase of a Share of Stock Is Excluded in the Calculation

question 271

Multiple Choice

The purchase of a share of stock is excluded in the calculation of Gross Domestic Product (GDP) because it

• A) is an intermediate good.
• B) produces value added.
• C) only represents the transfer of ownership rights.
• D) is a final service and not a good.

---

Definitions:

Collecting

The action or hobby of gathering items of a particular type, often of cultural, historical, or financial value.

Transferred Check

A check that has been signed over by the original recipient to a new recipient, allowing the latter to cash or deposit the check.

Intermediary

An entity that acts as the middleman between two parties in a transaction, helping to facilitate communication and the exchange of goods, services, or information.

Depositary Banks

Financial institutions that hold securities, such as stocks and bonds, in electronic or physical form for safekeeping and facilitate transactions for these securities.