Per Capita Income, National Income and Contribution to GDP
explain the t...
Question
explain the term gdp why are only final goods & services counted in gdp
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Solution
Intermediate goods are used up in producing final goods and services. The finished good made up of all the intermediatery goods are the final products..
The value of final goods is only used in the calculation of the GDP because it already includes the value of all the intermediate goods that are used in making the final good.