Why do you suppose the portion of final goods expenditures

Reference no: EM131228108

(National Income Accounting) According to Exhibit 8 in this chapter, GDP can be calculated either by adding expenditures on final goods or by adding the allocations of these expenditures to the resources used to produce these goods. Why do you suppose the portion of final goods expenditures that goes to pay for intermediate goods or raw materials is excluded from the income method of calculation?

Reference no: EM131228108

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