Net exports:
a. will increase if exports of goods decline.
b. will increase if imports of goods rise.
c. in our GDP accounts permit estimation of foreign ownership of American businesses.
d. include budgetary outlays of the federal government.
e. is the net effect of the foreign trade sector on GDP.
Question 2
Gross private domestic investment or simply business investment spending (I):
a. excludes all investment in the United States by foreign firms.
b. includes all capital in the United States.
c. includes net additions to the capital stock plus all new corporate stocks and bonds.
d. includes business expenditures on new factories, tools, and machinery.
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