Consider Two Items That Might Be Included in GDP: (1)the

Multiple Choice

Consider two items that might be included in GDP: (1) the estimated rental value of owner-occupied housing and (2) purchases of newly-constructed homes.How are these two items accounted for when GDP is calculated?

A) Both item (1) and item (2) are included in the consumption component of GDP.
B) Item (1) is included in the consumption component of GDP,while item (2) is included in the investment component of GDP.
C) Item (1) is included in the investment component of GDP,while item (2) is included in the consumption component of GDP.
D) Only item (2) is included in GDP,and it is included in the investment component.