Statistics on real GDP during World War II may give a misleading indication of whether World War II was a period of prosperity because
A)inflation may have been considerably higher than estimated.
B)most of the increased production was for military goods,not consumption goods.
C)government agents purposely inflated the production numbers to maintain American support for the war.
D)government agencies were shorthanded and did a particularly poor job of collecting data.

Question

Quizplus · Accepted Answer

The increased production during World War II was mainly for military goods and not consumption goods. Therefore, real GDP may give a misleading indication of prosperity during the war because it does not reflect the overall well-being of citizens or their level of consumption. The focus on military goods also means that the increase in production may not have translated into a better standard of living for the average person.

Statistics on Real GDP During World War II May Give