A truck that is produced in 2018 will not be sold until 2019

Economics Nov 21, 2020

A truck that is produced in 2018 will not be sold until 2019. According to the definition of GDP, in which year’s GDP should it be counted?

Select one:

a. Both years

b. 2019

c. 2018 real GDP; 2019 nominal GDP

d. 2018

Expert Solution

Option D 2018

GDP records the final value of the goods and services which are produced in the given year for which the GDP is calculated irrespective of the year of sale.

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