Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production for that nation. Which of the following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating GDP for the United States? Check all that apply. Federal government paychecks to soldiers The value produced when you wash your own car at home The leisure time enjoyed by households The costs of overfishing and other overly intensive uses of resources When a U.S. company purchases and imports automotive parts from Canada to use to build cars within the United States, this purchase increases the component of GDP while also net exports by the same amount. Therefore, the purchase of automotive parts from Canada causes in US GDP.
Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production for that nation. Which of the following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating GDP for the United States? Check all that apply. Federal government paychecks to soldiers The value produced when you wash your own car at home The leisure time enjoyed by households The costs of overfishing and other overly intensive uses of resources When a U.S. company purchases and imports automotive parts from Canada to use to build cars within the United States, this purchase increases the component of GDP while also net exports by the same amount. Therefore, the purchase of automotive parts from Canada causes in US GDP.
Chapter1: Making Economics Decisions
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Transcribed Image Text:Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production for that nation.
Which of the following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating
GDP for the United States? Check all that apply.
Federal government paychecks to soldiers
The value produced when you wash your own car at home
The leisure time enjoyed by households
The costs of overfishing and other overly intensive uses of resources
When a U.S. company purchases and imports automotive parts from Canada to use to build cars within the United States, this purchase increases the
component of GDP while also
net exports by the same amount. Therefore, the purchase of
automotive parts from Canada causes
in US GDP.
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