The largest component of GDP by far is A. net exports. B. personal consumption expenditures. C. government purchases of goods an

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3 years ago

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The largest component of GDP by far is A. net exports. B. personal consumption expenditures. C. government purchases of goods an

d services. D. gross private domestic investment. If a household purchases a new car and a new refrigerator, this would be classified as spending on A. consumer services. B. consumer durables. C. consumer nondurables. D. None of the above.

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1 answer:

Lady_Fox [76] · Answer 1 · 2022-07-23T17:06:49+03:00

Answer:

B. personal consumption expenditures.

B. consumer durables.

Explanation:

The GDP is the value of the products and services that are produced by a country. It is the result of adding consumption, government purchases, investments and net exports and frequently, the largest one of this components is consumption as it includes the expenditures of all the households.

Consumption includes durable, non-durable goods and services. The durable goods are products that doesn't get damage quickly like cars, jewelry and appliances.