### Analysis of the Options
1. **Business Investment**: This refers to the expenditures made by businesses on capital goods that are used for production.
2. **Consumer Spending**: This is the total amount of money spent by households in an economy on goods and services.
3. **Government Spending**: This includes expenditures by the government on goods and services that are consumed for providing public services.
4. **Final Answer**: Among these, consumer spending typically constitutes the largest component of GDP in most economies, accounting for about 60-70% of total GDP in many countries.

### Conclusion
Based on the analysis, the correct answer is **b. consumer spending**.

Question

### Analysis of the Options
1. **Business Investment**: This refers to the expenditures made by businesses on capital goods that are used for production.
2. **Consumer Spending**: This is the total amount of money spent by households in an economy on goods and services.
3. **Government Spending**: This includes expenditures by the government on goods and services that are consumed for providing public services.
4. **Final Answer**: Among these, consumer spending typically constitutes the largest component of GDP in most economies, accounting for about 60-70% of total GDP in many countries.

### Conclusion
Based on the analysis, the correct answer is **b. consumer spending**.

Knowee AI · Accepted Answer

### Analysis of the Options
1. **Business Investment**: This refers to the expenditures made by businesses on capital goods that are used for production.
2. **Consumer Spending**: This is the total amount of money spent by households in an economy on goods and services.
3. **Government Spending**: This includes expenditures by the government on goods and services that are consumed for providing public services.
4. **Final Answer**: Among these, consumer spending typically constitutes the largest component of GDP in most economies, accounting for about 60-70% of total GDP in many countries.

### Conclusion
Based on the analysis, the correct answer is **b. consumer spending**.

The largest component of GDP is abusiness investment bconsumer spending cgovernment spending d

Question

The largest component of GDP is

Solution

Analysis of the Options

Conclusion

Similar Questions

Upgrade your grade with Knowee