Which of the following would be included in the GDP of the United States?

Question

Which of the following would be included in the GDP of the United States?

A. Boeing builds a plane in Seattle that is sold to Air Canada.

B. Daimler Chrysler produces a car in Germany that is sold in Michigan.

C. Nestle produces a candy bar in Switzerland that is sold in San Francisco.

D. Planet Hollywood provides dining services in a restaurant in Hong Kong.

E. Disney provides entertainment services in an amusement park in Japan.

Answer 1

A. Boeing builds a plane in Seattle that is sold to Air Canada.

Remember that GDP is defined as the total market value of all final goods and services produced WITHIN the country in a given period of time (usually a calendar year). It is also considered the sum of value added at every stage of production (the intermediate stages) of all final goods and services produced within a country in a given period of time, and it is given a money value.