If we use GDP to measure our standard of living, then our procedure is
A) inaccurate because our standard of living has nothing to do with goods and services.
B) inaccurate because our standard of living does not depend only on goods and services.
C) inaccurate because our standard of living only depends on used goods and services.
D) accurate only if we use nominal GDP rather than real GDP.
E) accurate because our standard of living depends solely on goods and services.

Question

Quizplus · Accepted Answer

GDP measures the total value of goods and services produced in a country and can provide an indication of economic health, but it does not account for all factors that contribute to the standard of living, such as income distribution, environmental quality, and access to healthcare and education.

If We Use GDP to Measure Our Standard of Living