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How does the expenditures measure of GDP differ from the production measure? It depends on the amount of inventories held at the beginning and end of the year. It is lower, because only purchased items are counted. It is higher due to the higher cost of a final good than of the inputs. It doesn't. The final value is the same..

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How does the expenditures measure of GDP differ from the production measure? It depends on the amount of inventories held at the beginning and end of the year. It is lower, because only purchased items are counted. It is higher due to the higher cost of a final good than of the inputs. It doesn't. The final value is the same.

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