The best definition of GDP is
A)The sum of the physical amounts of goods and services in the economy.
B)A dollar measure of final output produced during a given time period within a nation's borders.
C)A measure of the per capita economic growth rate of the economy.
D)A physical measure of the capital stock of the economy.

Question

Quizplus · Accepted Answer

GDP stands for Gross Domestic Product, which is a measure of the total value of final goods and services produced within a nation's borders during a given time period, usually a year. It is expressed in dollar terms and is considered the most comprehensive measure of a country's economic output. Choice A is incorrect because GDP is measured in dollar terms, not physical amounts. Choice C is incorrect because GDP measures the overall economic growth rate, not per capita growth. Choice D is incorrect because GDP measures the total output of the economy, not just the capital stock.

The Best Definition of GDP Is