Because GDP does not account for improvements in the quality of goods,the GDP calculation:
A) tends to overstate the true value of output in Australia.
B) tends to understate the true value of output in Australia.
C) provides an accurate value of output in Australia.
D) provides the best measure of output in Australia.
E) measures the value correctly because price changes always capture the value of quality changes.
Correct Answer:
Verified
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