Final answer:
GDP includes consumption, investment, government spending, and net exports. Transactions such as new housing, business investment in robots and materials, and exports like iPhones are included in GDP. Financial investments, tax collection, and secondary market sales, like used car sales, do not count towards GDP.
Step-by-step explanation:
Gross Domestic Product (GDP) is a measure of the economic production of a country within a given period of time. It includes four main components: consumption, investment, government spending, and net exports. For each transaction listed, we can identify the respective component of GDP it belongs to: A. Alex building a new house is part of investment, as residential construction is considered an investment in housing. B. Firms purchasing new robots and materials for future production are also part of investment, as it's a business expenditure on capital goods. C. Helen purchasing $5,000 worth of stock does not belong to any component of GDP, as stocks are financial assets and not goods or services produced. D. Apple exporting iPhones to Asia contributes to net exports, which is a component of GDP. E. Government's tax is not a direct component of GDP but can indirectly affect government spending.
When looking at specific examples of what is included in GDP: a. The cost of hospital stays is included as it is part of healthcare services consumption. b. The rise in life expectancy over time is not included; it's an outcome and doesn't reflect a good or service produced. c. Child care services by a licensed day care center are included as they are paid services consumed. d. Child care by a grandmother is typically not included unless it is a paid service, as unpaid household work doesn't count in GDP. e. A used car sale is not included, as it does not reflect current economic production. f. A new car sale is included, as it is a part of consumer goods produced and sold. g. The greater variety of cheese available in supermarkets is not a direct GDP component, as variety does not equate to production value. h. The iron that goes into the steel for a refrigerator is included as part of the investment in inventory by the business until it is sold to the consumer.