Which one of the following is NOT a shortcoming of measuring the economy using gross domestic product (GDP)? a) Only goods and services with a market price are Included in the calculations. b) The gross domestic product (GDP) cannot account for the effect that inflation has on the economy. c) Activities in the informal sector are often not taken into account. d) An increase in expenditure from the perspective of the gross domestic product (GDP) often does not consider the economic welfare of such increases.
Which one of the following is NOT a shortcoming of measuring the economy using gross domestic product (GDP)? a) Only goods and services with a market price are Included in the calculations. b) The gross domestic product (GDP) cannot account for the effect that inflation has on the economy. c) Activities in the informal sector are often not taken into account. d) An increase in expenditure from the perspective of the gross domestic product (GDP) often does not consider the economic welfare of such increases.
Chapter11: Gross Domestic Product
Section: Chapter Questions
Problem 5SQ
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Which one of the following is NOT a shortcoming of measuring the economy using gross domestic product (GDP)?
a) Only goods and services with a market price are Included in the calculations.
b) The gross domestic product (GDP) cannot account for the effect that inflation has on the economy.
c) Activities in the informal sector are often not taken into account.
d) An increase in expenditure from the perspective of the gross domestic product (GDP) often does not consider the economic welfare of such increases.
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