In principle, a list of absolute necessities should change regularly over time

Private solutions may not be possible due to the costs of negotiating and enforcing these solutions. Such costs are called

a. transaction costs. b. corrective costs. c. input costs. d. private costs.

An American retailer purchased 500 pairs of shoes from a company in Thailand in the second quarter of 2016 but does not sell them to a consumer until the third quarter of 2016 . Which of the following components of U.S. GDP is affected by this transaction in the third quarter of 2016?

a. consumption, investment and imports b. only consumption and investment c. only consumption and imports d. only investment and imports