Which of the following is likely to increase measured GDP?

Question

Quizplus · Accepted Answer

The legalization of marijuana would create a new industry that would add to GDP through the production and sale of Marijuana.

Answer: D
 When people do their own lawn maintenance instead of hiring a professional service, the value of the services they previously paid for will no longer be included in GDP, but the value of goods they purchase to maintain their own lawns will be included.

Note: Options A and E may have indirect effects on GDP but they cannot be directly attributed to increasing GDP. Option C would likely decrease GDP as it would lead to a reduction of reported income and lower tax revenues.

Which of the Following Is Likely to Increase Measured GDP