Which of the following is included in the GDP of the US Movi

Which of the following is included in the GDP of the U.S.? Movies made in China by American citizens. Olive oil made in Italy and sold in the U.S. Dresses made in the U.S. and sold in Japan. Drinks made in the U.S. by Canadian citizens.

Solution

GDP measures the total value of final goods and serviced produced within the country during a period.

Out of the 4 options, the first option is incorrect because, movies produced in China do not belong to US GDP. But olive oil produced within US, dresses made in US (even if sold in Japan) and drinks made in US (even if by Canadians) all are components of US GDP.

Correct option is (A).