The GDP equation is:

A. Y = C + I + G + NX.
B. Y = C - I - G - NX.
C. C + I = G + NX.
D. C + I = Y + G + NX.

Answer: A

Economics

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Describe three costs of inflation

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The long run is characterized by:

A. the relevance of the law of diminishing returns. B. at least one fixed input. C. insufficient time for firms to enter or leave the industry. D. the ability of the firm to change its plant size.

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