GDP Flashcards
1
Q
Consumption
A
consumer spending on final goods and services is the largest category.
2
Q
Investment
A
describes that the fact Firms also spend money on final product (does not mean financial investment)
3
Q
Government
A
Spends money on final products
4
Q
Net exports
A
Some products get bought by other countries, must subtract product you buy from other countries
5
Q
Second way to calculate GDP
A
add up all of the money spent on final goods and services
6
Q
Third way to calculate GDP
A
add up all of the income received
