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The Carters oldest son attends Big State University. He and his parents pay all his fees and tuition. These payments count in GDP as A. investment. B. government spending. C. consumption of services. D. consumption of durable goods
Answer : The Carters oldest son attends Big State University. He and his parents pay all his fees and tuition. These payments count in GDP as : c .consumption of services. Explanation : As money spend for fee is spend for consumption purpose , Hence…

it should count as consumption and not investment . And , Univeersity provides service i.e teaching . Hence , In GDP , it should count in GDP as consumption of services.

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