In calculating GDP,economists
A)measure total expenditure as the only true measure.
B)can measure either total expenditure or total income.
C)measure total income as the only true measure.
D)measure total income minus total expenditure.
E)measure total income plus total expenditure.

Question

Quizplus · Accepted Answer

Economists can measure either total expenditure or total income in order to calculate GDP. Both methods should yield the same result as GDP can be measured by adding together the total value of all goods and services produced within a country during a specific time period. Therefore, B is the best choice as it accurately represents the options available to economists when calculating GDP.

In Calculating GDP,economists