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July 10, 2024

Gross Domestic Product

Assume you have the following economic data from Country X for a given year:

Consumer Spending: $500 million
Investment by businesses: $120 million
Government Spending: $200 million
Exports: $70 million
Imports: $90 million
Using the expenditure approach, calculate the Gross Domestic Product (GDP) of Country X for that year. Explain each component of the equation and how they contribute to the total GDP.

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