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If you look up how gdp is measured, you will find that they measure the total of transactions for the final consumer, for exactly the reasons I’ve listed.

From the IMF:

“ Theoretically, GDP can be viewed in three different ways:

The production approach sums the “value-added” at each stage of production, where value-added is defined as total sales less the value of intermediate inputs into the production process. For example, flour would be an intermediate input and bread the final product; or an architect’s services would be an intermediate input and the building the final product.

● The expenditure approach adds up the value of purchases made by final users—for example, the consumption of food, televisions, and medical services by households; the investments in machinery by companies; and the purchases of goods and services by the government and foreigners.

● The income approach sums the incomes generated by production—for example, the compensation employees receive and the operating surplus of companies (roughly sales less costs).”

So, sorry but you are mistaken about this, I’ve been trying to get you to understand this but you’re not paying attention. So in my hot dog example, you’re not supposed to count anything as gdp other than the final sale to the person who ate the hot dog. Or you can measure it one of the other two ways listed but you’ll get the same answer.




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