Question

Which COMPONENT(S) (if any) of U.S. GDP (consumption C, investment I, government spending G, and/or net exports NX) THIS YEAR would be affected and how (INCREASE or DECREASE) if:

(e) A French citizen buys a new house in Miami beach and rents it to a Japanese citizen.
  (f) You buy an old computer for your business.
    (g) General Motors produces some cars but does not manage to sell them this year.
    (h) Spirit Airlines buys a new Airbus airplane produced in Europe.

Answer 1

1 - Since a new house is being bought , that too in domestic country , it will lead to rise of private investment. This will increase GDP.

Rent will be accrued to french Citizen and not US , hence it will not be included.

2 - Old computer will not be included in GDP since it has already been included when it was bought new. Hence this will have no impact on GDP.

3 - The produced but not sold will come under inventory investment and hence will be included in GDP. It will increase GDP

4 - This will increase Investment but on other hand will Increase Imports . Hence the net effect on GDP will be Zero. So , there will be no change in GDP.