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Wouldn’t companies with a strong international presence (e.g. Apple) contribute to that? It seems like increased globalization could explain that high ratio rat
by schrodinger 9y ago
Wouldn’t companies with a strong international presence (e.g. Apple) contribute to that? It seems like increased globalization could explain that high ratio rather than “overvaluation.”
- dannyw 9y agoThat would be counted in America's GDP. The metric as designed is more flawed, because not all companies are public.
- gok 9y agoExports contribute to GDP but sales between foreign subsidiaries do not. So a Toyota made in Toyota-owned Kentucky factory contributes to the US GDP. This is in contrast to GNP; that US-made Toyota would count towards Japan's GNP.