One of the reasons that Real Gross Domestic Product is not synonymous with social welfare is
A. people substitute between goods.
B. things produced by people under 18 are not counted.
C. quality has remained steady.
D. the underground economy (unreported and illegal income and sales) is not counted.
Answer: D
You might also like to view...
To assist pineapple growers in Hawaii, the U.S. government decides to limit the number of pineapples allowed into the country that are grown in Central American countries. Such a restriction is called a(n)
A) import. B) export. C) quota. D) tariff.
Recall the Application about choosing a price for drones based on a linear demand curve to answer the following question(s).Recall the Application. Suppose a firm that produces drones has a linear demand curve for its product, with a vertical intercept of $1,500. If the firm initially charged a price of $500 and then raised its price to $750, the firm's profit will ________.
A. increase B. decrease C. stay the same. D. decrease until it becomes zero.
The price of a piece of pizza is $1 and the price of a movie is $4 and the consumer has $10. A consumer has purchased 2 pieces of pizza and 2 movies, receiving 25 units of utility for the second pizza and 100 units of utility for the second movie. The set of goods
A. is an optimum since the entire income is spent and total utility is minimized. B. is not an optimum because the marginal utility per dollar spent is greater for pizza than for movies. C. is an optimum since the entire income is spent and the marginal utility per dollar spent is the same for the last unit of each good. D. is not an optimum because the consumer has not spent all of his money.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. For this economy to move from Point C to Point B, ________ additional LCD TVs could be produced when the production of OLED TVs is reduced by 20.
A. exactly 30 B. exactly 60 C. fewer than 30 D. more than 30