Which of the following is NOT a component of GDP?

Gross Domestic Product (GDP) measures the total value of all final goods and services produced within a country's borders over a specific time period. The components that contribute to GDP are consumption, government spending, investment, and net exports.

Consumption refers to all private expenditures by households, which includes spending on goods and services. It represents the largest component of GDP in many economies, as it captures the majority of individual purchasing behavior.

Government spending includes all government expenditures on goods and services that directly contribute to the domestic production. This includes spending on infrastructure, education, and public services, which are critical for economic performance.

Net exports account for the value of a country's exports minus its imports. If a country exports more than it imports, it has positive net exports, contributing positively to GDP. Conversely, if imports exceed exports, this results in negative net exports.

Taxation, however, does not directly contribute to GDP in the same manner as the other components listed. While taxes are a major source of revenue for the government that allows for government spending, the act of taxation itself does not represent the production of goods and services. Therefore, it is not included as a component in the calculation of GDP.