Consumption, as a Component of GDP

question 44

Multiple Choice

Consumption, as a component of GDP:

• A) measures spending on goods and services by individuals and households.
• B) includes nondurable goods only.
• C) includes durable goods only.
• D) measures spending only on goods, not services, by private individuals and households.

---

Definitions:

Marginal Utility

The added enjoyment or advantage gained by using one more unit of a good or service.

Marginal Utility

The additional satisfaction or benefit received by consuming one more unit of a good or service.

Total Utility

The overall pleasure gained through consuming a certain volume of goods or services.

Scented Candles

Fragranced candles that release a pleasant aroma when lit, often used for decoration, lighting, or to create a calming atmosphere.