Intermediate goods are explicitly excluded from GDP calculations and resale of finished products only increases GDP by the value added amount. In your scenario

Intermediate goods are explicitly excluded from GDP calculations and resale of finished products only increases GDP by the value added amount. In your scenario GDP would be $2. Regardless, GDP can be calculated by summing all income across all sources. It represents a nationwide increase of wealth. The gap between wage per worker and GDP per worker indicates that, despite labor being the only source of wealth generation, labor only receives a fraction of its productive efforts back as wages. I like it because illustrates the gap between capital and labor, as an alternative to the more traditional income inequality between workers.