Sam, an American citizen, prepares meals for his family at home. Ellen, a Canadian citizen, commutes to the U.S. to help prepare meals at a restaurant in Idaho. Whose value of services preparing meals is included in U.S. GDP?

Answer 1

In this case, both Sam's and Ellen's value of services preparing meals would be included in U.S. GDP. Sam's services are considered part of the domestic economy because he is an American citizen preparing meals for his family at home. Ellen's services, on the other hand, contribute to U.S. GDP because she is a Canadian citizen commuting to the U.S. and helping prepare meals at a restaurant in Idaho.