Question Details

Which, if any, of the following causes reported GDP to be less than total economic production 



1) Real GDP does not show the state of economic welfare in a country in part because GDP omits
I. household production.
II. leisure time available.
III. the quality of the environment.
A) I only
B) I and III
C) II and III
D) I, II and III
2) Real GDP can be criticized as a measure of economic welfare because it
A) does not include the value of products produced in the household.
B) does not take account of the degradation of environmental quality.
C) does not include leisure time available to a society.
D) All of the above answers are correct.

3) A country that has a large real GDP per person might not necessarily have a high level of
economic welfare because it may have
A) very little political freedom.
B) environmental problems.
C) little leisure time.
D) All of the above answers are correct.
4) Which, if any, of the following causes reported GDP to be less than total economic production ?
A) the exclusion of household production
B) the exclusion of government transfers
C) the inclusion of government expenditures
D) None of the above cause reported GDP to be less than total production.
5) In calculating GDP, household production is
A) included as part of consumption.
B) ignored because it is not a large amount.
C) not included because there is no market transaction.
D) included under employee compensation.



Economics Assignment Help, Economics Homework help, Economics Study Help, Economics Course Help