Final answer:
GDP is a measure of the total value of goods and services produced within a country. It includes certain items such as hospital stays, licensed child care, and car sales, but excludes items like the rise in life expectancy and child care provided by a grandmother.
Step-by-step explanation:
GDP, or Gross Domestic Product, is a measure of the total value of all goods and services produced within a country's borders in a specific time period. It includes both final goods and intermediate goods, but excludes certain transactions such as financial transactions and used goods. In the context of this question, the following items are included in US GDP this year:
- The cost of hospital stays
- Child care provided by a licensed day care center
- A used car sale
- A new car sale
- The iron that goes into the steel that goes into a refrigerator bought by a consumer
Items such as the rise in life expectancy over time, child care provided by a grandmother, and the greater variety of cheese available in supermarkets are not directly included in GDP.