All of the following are included in GDP EXCEPT
the income from a garage sale.
the value of a new car.
the value of a new house.
the sale of an ice cream cone.
I'm pretty sure 2 & 3 aren't the answer. Can anyone please help me?
Garage sales are not in GDP.
Gross Domestic Product (GDP) measures the total value of all final goods and services produced within a country in a specific time period. From the given options, the income from a garage sale is likely to be excluded from GDP calculations because garage sales involve the sale of used goods, rather than the production of new goods or services. Therefore, the correct answer is "the income from a garage sale."
To determine which of the options is not included in GDP, we first need to understand what GDP represents. Gross Domestic Product (GDP) measures the total value of all final goods and services produced within a country's borders during a specific time period. It is used as an indicator of economic activity.
Now, let's examine each option:
1. The income from a garage sale: This would generally not be included in GDP because it represents the sale of used goods between individuals rather than the production of new goods and services.
2. The value of a new car: This is likely to be included in GDP as it represents the production of a final good within the country.
3. The value of a new house: Similar to a new car, the value of a new house is expected to be included in GDP as it represents the production of a final good within the country.
4. The sale of an ice cream cone: This would also be included in GDP as it represents the sale of a final good (the ice cream) within the country.
Based on this analysis, we can deduce that the option NOT included in GDP is:
- The income from a garage sale (option 1)
Therefore, the correct answer is option 1: the income from a garage sale.