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Which of the Following Is a Drawback of Using Gross

Question 2

Multiple Choice

Which of the following is a drawback of using gross domestic product (GDP) per capita as a measure of economic welfare?


A) It does not show the average income earned per person in the country.
B) It does not throw any light on the distribution of income in the economy.
C) It includes the value of income earned from illegal activities such as smuggling and trafficking.
D) It includes the value of non-monetary transactions in the economy.

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