Question

Which of these household purchases will be counted as part of consumption in a country’s gross domestic product?(pick more then 1)



a newly constructed home


a new car for personal use


shares of a company's stock


a new haircut


a government-issued savings bond


a used dresser

Answer 1

I think it's a "newly constructed home"

I hope it helped you!

Answer 2

The answer is:

- a new haircut

- a new car for personal use

Consumption refers to the acts that use up the resource that we had to obtain a product or services , while production refers to the act of creating the product or services.

When we get a new haircut, we use up the value of our money (resources) in exchange for the haircut (services). Buying a car for personal use also considered as investments since we are not using it to gain any profit.