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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?


To: Katelew who wrote (54263)3/17/2008 6:29:55 PM
From: TimF  Respond to of 543580
 
GDP = consumption + gross investment + government spending + (exports - imports)

en.wikipedia.org

So the importing of the components does not add to GDP. In a sense the value of the finished product is not added to GDP. (Well technically it is, but the value of the imported components is subtracted in a separate step)