As more women decide to work outside the home and therefore hire others to work around their home, GDP will increase by the value of

Question

Quizplus · Accepted Answer

When women hire others to work around their home, GDP will increase not only by the value of the output produced by the newly working women but also by the value of any household work they are now hiring someone to perform. This is because the hired individuals would be producing new output, increasing GDP. The value of the household work that the women were previously performing is not included as it was not previously counted in GDP. Therefore, the correct option is C.

As More Women Decide to Work Outside the Home and Therefore