Question

Which phrase defines gross domestic product (GDP)?

a.the difference of expenditures made importing goods and income earned from exporting goods
b.the total monetary value of all the finished goods and services produced in a country in a given period
c.the economic value of the professional skills and knowledge used in the production of goods and services
d.the total investments made for the manufacture of domestic products and services in one year

Answer 1

B.

A is referring to trade in goods. C is the value of services but GDP refers to BOTH services and goods. D is referring to investments, but neglects the income retrieved from the production of goods and provision of services.

Answer 2

The correct answer would be B.

Step-by-step explanation:

GDP stands for Gross Domestic Product. Option B is the correct answer, The total monetary value of all the finished goods and services produced in a country in a given period. All products that are ready to be sold, when produced within the country, the monetary value associated with it constitutes the Gross Domestic Product for that country. Gross Domestic Product may include Food, Clothing, Footwear, Medical care, Equipment, furniture, etc.