Final answer:
The correct answer is D) All of the above. Gross private domestic investment includes business fixed investment, residential investment, and changes in business inventories when measuring GDP.
Step-by-step explanation:
The correct answer is D) All of the above. Gross private domestic investment, as measured by the Bureau of Economic Analysis when calculating GDP, includes business fixed investment, residential investment, and changes in business inventories. Business fixed investment refers to spending by businesses on new capital goods such as machinery, equipment, and software. Residential investment includes spending on construction of new homes and improvements to existing homes. Changes in business inventories refer to the goods that businesses produce but have not yet sold to consumers and are still sitting in warehouses and on shelves.