Crime currently affects the measurement of GDP such that
A) expenditures on police protection and detention centers contribute to GDP.
B) the loss to victims due to crime is subtracted from GDP.
C) crime is completely ignored because it does not express the economic well-being indicated by GDP.
D) expenditures on police protection and detention centers are subtracted from GDP.

Question

Quizplus · Accepted Answer

Expenditures on police protection and detention centers are considered as government spending and are therefore included in GDP calculations. The loss to victims due to crime is not subtracted from GDP, as it is not considered a productive economic activity.

Crime Currently Affects the Measurement of GDP Such That