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Question : Which of the following is NOT included in the calculation of GDP?

 

Option 1: Intermediate goods

Option 2: Final goods

Option 3: Value of exports

Option 4: Value of imports


Team Careers360 11th Jan, 2024
Answer (1)
Team Careers360 21st Jan, 2024

Correct Answer: Value of imports


Solution : The correct answer is (d) Value of imports.

However, the value of imports is not included in the calculation of GDP. Imports represent goods and services produced in other countries and purchased by the domestic economy. GDP measures the production that occurs within a country's borders, so imports are not counted in order to avoid double-counting.

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