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Pat Gives Up a $40,000 Per Year Job to Stay

Question 198

Multiple Choice

Pat gives up a $40,000 per year job to stay at home and take care of the house.By so doing,Pat saves $15,000 in child care and house cleaning services which he now performs himself.The direct effect on GDP from Pat's decision is a decrease of


A) $40,000.
B) $55,000.
C) $25,000.
D) $15,000.
E) $30,000.

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