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What is the size (in USD) of the worldwide alcoholic drink market?

a) $100 billion
b) $500 billion
c) $1 trillion
d) $5 trillion

User JERKER
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1 Answer

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Final answer:

The Gross Domestic Product (GDP) of Country A is calculated using the formula for GDP which includes consumption, investment, government purchases, and net exports. The GDP comes out to be $3.03 trillion after substituting the given values for Country A's economic activities.

Step-by-step explanation:

To calculate the Gross Domestic Product (GDP) of Country A, we'll adhere to the formula GDP = C + I + G + (X - M), where C denotes consumption spending, I denotes business investment, G stands for government purchases, X represents export sales, and M signifies imports. Plugging in the values provided:

  • C (Consumption spending) = $2,000 billion
  • I (Business Investment) = $50 billion
  • G (Government purchases) = $1,000 billion
  • X (Export sales) = $20 billion
  • M (Imports) = $40 billion

GDP = $2,000 billion + $50 billion + $1,000 billion + ($20 billion - $40 billion)

GDP = $2,000 billion + $50 billion + $1,000 billion - $20 billion

GDP = $3,030 billion or $3.03 trillion

The dollar value of GDP for Country A is thus $3.03 trillion.

User JJF
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