Question

The _____________ approach to GDP follows the flows of income to each sector of the economy and concludes with the GDP..

A. Expenditure
B. Production
C. Recession
D. None of the above

Answer 1

D. None of the above

Step-by-step explanation:

Gross Domestic Product (GDP) is the total monetary value of all the goods and services a country produces within a period of time.

There are various approaches to calculating GDP which include; the income approach, expenditure approach and output approach.

The income approach to calculating GDP considers income from all the factors of production (profits, interest, rental and labor incomes) in each sector of the economy to arrive at the National income of the country.