ericforteza001 ericforteza001

03-07-2017
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If an American woman purchases a pair of shoes in a local shoe store, what would happen to Consumption and GDP as a result? Consumption / GDP

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meerkat18 meerkat18

15-07-2017

Since the pair of shoes is purchased in a local shoe store by a local American citizen, therefore the Consumption increases as well as the GDP.

Since both factors increases, we could say that the ratio Consumption/GDP would remain unchanged.

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