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.

Question

Quizplus · Accepted Answer

Real GDP does not account for non-market activities like household production, does not measure leisure time, and does not consider environmental quality, all of which affect economic welfare.

Real GDP Does Not Show the State of Economic Welfare