If an American firm produces goods that are sold to a German household, then
A) German GDP increases but not U.S. GDP.
B) U.S. GDP increases.
C) the transaction is considered an export in the German GDP accounts.
D) net exports in the United States will not change because an export immediately generates an offsetting import.
B
Economics
You might also like to view...
How are final goods and services valued when measuring nominal GDP?
A) at producer cost B) at base year prices C) at foreign exchange parity D) at current market prices E) at factor market prices
Economics
The market where currencies are exchanged is called the foreign exchange market
Indicate whether the statement is true or false
Economics