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Answer to Question #135089 in Macroeconomics for December
Question #135089
Which one of the following statements about the shortcomings of real GDP is correct?
[1] It accounts for the distribution of national income
[2] It accounts for the negative effect resulting from production
[3] It is used to estimate the growth of the underground economy
[4] It does not account for labour of farmers in rural areas who produce for their own use
[1] It accounts for the distribution of national income
[2] It accounts for the negative effect resulting from production
[3] It is used to estimate the growth of the underground economy
[4] It does not account for labour of farmers in rural areas who produce for their own use
Expert's answer
[3] It is used to estimate the growth of the underground economy
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