Post Utme Ims U 2022 Economics Question 17

Practice objective / multiple choice question 17 from the 2022 Post Utme Ims U Economics examination.

Post Utme Ims U 2022 Economics Objective / Multiple Choice
Question 17 POST_UTME_IMS_U • 2022 • ECONOMICS • objective

A country's GDP is calculated as the sum of all final goods and services produced within its borders. If a multinational corporation (MNC) produces $100 million worth of goods in a foreign country and sells them in the same country, how will this affect the host country's GDP?

Answer Options

A. The host country's GDP will increase by $100 million.
B. The host country's GDP will decrease by $100 million.
Correct Answer C. The host country's GDP will remain unchanged.
D. The host country's GDP will increase by $100 million, but the MNC's profit will decrease by $100 million.
Correct Answer
C
Correct Option:
The host country's GDP will remain unchanged.

About This Question

This is Post Utme Ims U 2022 Economics Question 17. It is one of the objective questions from the 2022 Post Utme Ims U Economics examination.

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