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Ralph Used to Mow His Lawn,but Now He Pays a Company

Question 22

Multiple Choice

Ralph used to mow his lawn,but now he pays a company to do it.How does this change affect GDP?


A) It decreases GDP by more than the price of the service.
B) It increases GDP by less than the price of the service. .
C) It decreases GDP by the price of the service.
D) It increases GDP by the price of the service.

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