To determine which of the options is included in the calculation of GDP (Gross Domestic Product), we need to consider what GDP measures. GDP includes the value of all final goods and services produced within a country during a specific period, regardless of the nationality of the producer (as long as the production occurs domestically).
Let's evaluate each option:
a. The purchase of a used textbook from a friend who took the same class last year.
- Not included in GDP. Used goods are not counted in GDP because they were already counted when they were first purchased as new items.
b. The purchase of a new edition of a foreign textbook that was produced in a different nation.
- Not included in GDP. Although it is a new purchase, if the book was produced outside the country, it would not contribute to that country's GDP.
c. The purchase of ink and paper supplies by a textbook company for the production of new textbooks.
- Included in GDP. This is part of the intermediate goods used to produce final products, so their purchase contributes to GDP as part of the production process.
d. The purchase of tutoring services from a tutor who holds citizenship outside the country but resides within the country.
- Included in GDP. Services rendered within the country count towards GDP, regardless of the provider's nationality.
So, the correct answers that are included in the calculation of GDP are:
c. The purchase of ink and paper supplies by a textbook company for the production of new textbooks.
d. The purchase of tutoring services from a tutor who holds citizenship outside the country but resides within the country.
1 answer