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One Major Critique of Relying on the GDP to Measure

Question 6

Multiple Choice

One major critique of relying on the GDP to measure economic success is that:


A) it fails to capture a decline in well-being, as measured by sales of such products as alarms in our homes.
B) it is only able to measure economic activity in the manufacturing sector and does not include the rapidly growing service sector.
C) the statistic fails to tell us how the U.S. economy compares to the economies of other nations.
D) it relies too heavily on Wall Street activity.
E) the government frequently changes the formula for computing the GDP.

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