Question

Suppose Japanese-based Toshiba Corporation builds and operates a new computer factory in the United States. Future production from such an investment will increase U.S. GNP more than it increases U.S. GDP. increase U.S. GDP more than it increases U.S. GNP. have no affect on U.S. GNP, but will increase U.S. GDP. have no affect on U.S. GNP or GDP.

Answer 1

Future production from such an investment will increase U.S. GNP more than it increases U.S. GDP.

Step-by-step explanation:

100% of the production will occur in the US and go toward GDP but some of the income is to nonresidents, so GNP will be lower