Understanding GDP Components

What is the primary goal of Jacob Clifford's video?

• To discuss global trade policies

• To explain the history of economics

• To help students understand GDP components

• To teach students about investment strategies

Which of the following transactions counts as investment spending in GDP?

• A business purchasing new machinery

• Buying mutual funds

• Paying off a debt

• A garage sale

Why doesn't buying mutual funds count towards GDP?

• Because it's a form of consumer spending

• Because it's a financial transaction

• Because it's considered government spending

• Because it's an export

Which component of GDP does a public university buying a stadium fall under?

• Government spending

• Consumer spending

• Investment spending

• Exports

What is the reason a garage sale does not count towards GDP?

• It's usually done under the table and involves old goods

• It's considered an export

• It's a form of government spending

• It's a financial transaction