Question: A student remarks, It doesn't make sense that intermediate goods are not counted in GDP. A computer chip is an intermediate good, and without it,

A student remarks, "It doesn't make sense that intermediate goods are not counted in GDP. A computer chip is an intermediate good, and without it, a laptop won't work. So, why don't we count the computer chip in GDP?" Provide an answer to the student's question.

Step by Step Solution

3.29 Rating (164 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

The value of intermediate goods and services though ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

1347-B-A-A-M-E(860).docx

120 KBs Word File

Students Have Also Explored These Related Micro Economics Questions!