Which of the Following Would Increase the Government Purchases Component

Multiple Choice

Which of the following would increase the government purchases component of U.S. GDP?

A) The U.S. federal government pays $3 billion in pensions to government workers.
B) The U.S. federal government pays $3 billion in interest on the national debt.
C) The U.S. federal government pays $3 billion in salaries to soldiers in the military.
D) The U.S. federal government pays $3 billion in interest to foreign holders of U.S. government bonds.