Interest paid by households and by the government is

[Diane]

Question 1

Net interest is the interest on loans paid by

◦ businesses, households, and the government.
◦ businesses and households.
◦ businesses and the government.
◦ businesses.

Question 2

Interest paid by households and by the government is

◦ counted in national income, but not in GDP.
◦ not counted in GDP because it is not assumed to flow from the production of goods and services.
◦ not counted in GDP but is counted in GNP because it is paid by U.S. citizens to people living in the United States.
◦ included in both GDP and GNP because it represents an expenditure by one group and a receipt of income by another group.

[Jayson]

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[Diane]

Thanks for the timely response, appreciate it

[adf223]

YES! Correct, THANKS for helping me on my review