Suppose That in the Country of Welworth, Most Residents Supply

Multiple Choice

Suppose that in the country of Welworth, most residents supply factors of production to foreign firms, while producers in Welworth never employ factors owned by residents of other countries. Which of the following statements is true of the economy of Welworth?

A) Welworth's GDP is greater than its GNP.
B) Welworth's GDP is less than its GNP.
C) Both GDP and GNP are about the same in Welworth.
D) Welworth's GDP exceeds GNP by an amount equal to depreciation plus indirect business taxes.