The purchases made by the foreign sector are called __________; the purchases made by the household sector are called __________; the purchases made by the government sector are called __________; and the purchases made by the business sector are called investment. Group of answer choices net exports; consumption; net interest net exports; domestic spending; government purchases net exports; consumption; government purchases exports; domestic spending; government product
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Step 1: Recall the GDP expenditure identity: GDP = C + I + G + NX, where C = consumption, I = investment, G = government purchases, and NX = net exports. Show more…
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