As measured, GDP omits which of the following?
i. Illegal sales of goods and services
ii. Changes in the amount of leisure time
iii. Household production of goods and services
A) i only
B) i and iii
C) ii and iii
D) i and ii
E) i, ii and iii

Question

Quizplus · Accepted Answer

GDP omits illegal sales of goods and services because these transactions are not reported to the government. It also does not account for changes in the amount of leisure time, as it only measures the value of goods and services produced. Additionally, household production of goods and services is not included in GDP calculations because these activities do not involve market transactions.

As Measured, GDP Omits Which of the Following