Answer:
A) Toyota, a Japanese car company, producing cars in the United States
Step-by-step explanation:
Here is the full question :
Which of the following would be included in GDP for the United States?
A) Toyota, a Japanese car company, producing cars in the United States
B) a U.S. professor taking a year off to teach at the London School of Economics
C) a tire manufacturer making and selling tires to Ford to be used in their new cars
D) Jane's purchase of a used car after her old car is destroyed in an accident
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year
GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export
Net export = exports – imports
When exports exceed import there is a trade deficit and when import exceeds import, there is a trade surplus.
Items not included in the calculation off GDP includes:
1. services not rendered to oneself
2. Activities not reported to the government
3. illegal activities
4. sale or purchase of used products
5. sale or purchase of intermediate products
The tires sold to Ford are an intermediate good and it would not be included in GDP
The used car bought by Jane would not be included in GDP because it wasn't produced in current year. The car would have been included in the GDP of the year it was produced. So, including it would count as double counting
The car produced in the US would be included in GDP because it was produced in the current year in the US