1. Activities included (and not included) in the calculation ofGDP
The gross domestic product (GDP) of the United States is defined as the all in a given period of time.
Based on this definition, indicate which of the following transactions will be included in (that is, directly increase) the GDP of the United States in 2015.
Zippicar, a U.S. automobile company, produces a convertible at a manufacturing plant in Minneapolis on January 9, 2015. It sells the car at a dealership in New York City on February 24, 2015. (Included /excluded)
Chocolate Express, a Swiss chocolate company, produces a chocolate bar at a plant in Illinois on December 5, 2015. An elementary school student buys the chocolate bar on December 24. ( included/excluded)
The Jones family buys an antique silver platter at an auction in upstate New York on March 17, 2015. (Included/excluded)
Atheliticus, a U.S. shoe company, produces a pair of sneakers at a plant in Vietnam on March 17, 2015. Athleticus imports the pair of sneakers into the United States on May 21, 2015. (Included/excluded)
Treetop lets, a U.S. lumber company, produces wood at a plant in Oregon on September 13, 2015. It sells the wood to Buildit and Partners, a developer, for use in the production of a new house that will be built in the United States in 2015. (Note: Focus exclusively on whether production of the wood increases GDP directly, and ignore the effect of production of the new house on GDP.) (included/excluded)