ECONOMICS
GDP
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Working time
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leisure time
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Either A or B
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None of the above
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Detailed explanation-1: -More the leisure, happier I am. But GDP does not consider leisure time. These are all examples of non-marketed activities (activities which do not have a market, which means they are not bought and sold). marketed activities are measured in the GDP.
Detailed explanation-2: -GDP does not include leisure time in the calculation. The reason for the exclusion of leisure time is that this time gives utility to the workers and employees but cannot be measured in monetary units. The contentment and utility from leisure can be anticipated but cannot be accurately measured.
Detailed explanation-3: -Limitations of GDP as a Measure of the Standard of Living. While GDP includes spending on recreation and travel, it does not cover leisure time.
Detailed explanation-4: -Explanation: Wages are not included in the factors of production. 5. Which of the following is not a method to calculate the Gross Domestic Product (GDP)? Explanation: There are 3 methods used for calculating national income namely; Income method, expenditure method, and Product method.
Detailed explanation-5: -Sales of goods that were produced outside our domestic borders. Sales of used goods. Illegal sales of goods and services (which we call the black market) Transfer payments made by the government. Intermediate goods that are used to produce other final goods. 12-Oct-2021