GDP – To be, or not to be…counted? That is the question Directions: For each of the following, determine whether or not it is counted in GDP. If it’s counted, then tell me whether its Consumption, Investment, Government Spending, Net Exports, Rent, Wages, Interest or Profit. If it’s not counted, then explain why.

1. Paris Hilton earns $7.50/hr working at the local grocery store.

2. Koko purchases a brand new Toyota Tundra made in San Antonio.

3. The United States Marine Corps invades Austin, Texas and in the process spends $5 billion. Austin surrenders.

4. On vacation, Hugo Chavez purchases a Goofy hat at Walt Disney’s Magic Kingdom. He then declares himself supreme leader of Tomorrow Land.

5. My father-in-law receives a monthly check for the oil pumped off of his property.

6. Intel spends $300 million building a semiconductor factory in San Jose, Costa Rica.

7. Intel spends $300 million building a semiconductor factory in San Jose, California.

8. Former British Prime Minister Tony Blair decides to start a boy band and purchases a used Volkswagen Euro Van in which to tour South Texas.

9. John Deere Tractor receives payment from Lindsey Lohan for a new tractor.

10. Mr. Mayer buys himself a $500,000 house that was built 50 years ago. It burns to the ground the next day. Uninsured.