GDP understates the value of output produced by an economy because it
A) includes environmental degradation caused by increased output production.
B) includes transactions that do not take place in organized markets, such as home-cooked meals.
C) excludes value added from the underground economy, such as tips taken "under the table."
D) excludes the value of the wages and benefits of government employees.
C
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A rise in the price level brings a ________ in the buying power of money that ________ consumption expenditures and causes the quantity of real GDP demanded to ________
A) fall; decreases; decrease B) fall; increases; increase C) rise; increases; increase D) rise; decreases; decrease E) fall; decreases; increase
How do we know when a market is contestable?
What will be an ideal response?
Holding other factors constant, if the education and skills of the typical worker in an economy increases, then the real wages of workers will ________ and employment of workers will ________.
A. decrease; increase B. decrease; not change C. increase; decrease D. increase; increase
What will happen to the U.S. dollar price of a euro and the quantity of euros exchanged when the demand for the euro decreases, but the supply does not change? Has the U.S. dollar appreciated or depreciated?
Please provide the best answer for the statement.