Question

How do I calcuate GDP when Exports and Imports are missing?

Components of GDP on the Demand

If total GDP for this economy is $18.10 trillion for the year shown in the table below, what was the country's trade balance? Round your answer to the nearest hundredth if necessary.

Consumption	12.13
Investment	2.82
Government spending	3.15
Exports	?
Imports	?
Total GDP	18.10

Answer 1

Total GDP = Consumption + Investment + Government spending + Net Export

or, Total GDP = Consumption + Investment + Government spending + (Export - Import)

or, $18.10 trillion = $12.13 trillion + $2.82 trillion + $3.15 trillion + (Export - Import)

or, $18.10 trillion = $12.13 trillion + $2.82 trillion + $3.15 trillion + (Export - Import)

or, $18.10 trillion = $18.10 trillion + (Export - Import)

So, (Export - Import) = $18.10 trillion - $18.10 trillion = 0.

Trade balance = export - import = 0.