3 ms·
>No, net exports add to GDP, its just that the value is negative. (Or, equivalently, the positive number of net imports is subtracted from GDP.) I think people
by remarkEon 9y ago
>No, net exports add to GDP, its just that the value is negative. (Or, equivalently, the positive number of net imports is subtracted from GDP.)
I think people are downvoting because the wording is confusing, or your point was already clear from context. To clear up the confusion, the Macro formula for GDP:
Y = C + I + G + (X - M)
Where Y is GDP, C is consumption, I is investment, G is government spending, X is exports, and M is imports.
So, yes, net exports adds to GDP.