Question

Which is now the largest single component of the supply side of GDP, representing over half of GDP?

Option 1: Durable goods
Option 2: Services
Option 3: Nondurable goods
Option 4: Structures

Answer 1

Services are the largest single component of GDP, making up over 60 percent and reflecting a shift towards a service-oriented economy.

Step-by-step explanation:

The largest single component of the supply side of GDP, representing over half of GDP, is services. This sector includes a wide range of industries such as healthcare, education, and financial services, and it accounts for over 60 percent of the GDP. Over the years, services have seen consistent growth as a portion of GDP, reflecting a shift away from a manufacturing-based economy to one that is more service-oriented.