The "statistical discrepancy" that the NIPA includes in the data is to account for the following, except:
A) To equalize GDP totals produced by the expenditures approach and the income approach
B) Errors due to people misrepresenting their incomes on their tax returns
C) Difficulty in accurately estimating depreciation
D) Household production, or "do-it-yourself" activities of households

Question

Quizplus · Accepted Answer

The "statistical discrepancy" in the National Income and Product Accounts (NIPA) is used to reconcile differences between GDP calculated by the income approach and the expenditure approach, and to account for errors and omissions in data collection, but it does not account for household production or "do-it-yourself" activities.

The "Statistical Discrepancy" That the NIPA Includes in the Data