Why is the value of leisure listed as a shortcoming in the measurement of GDP?
A. When households take time off for leisure, the activity is not counted in GDP. However, taking time off for leisure makes households better off.
B. Because GDP increases when households take more leisure.
C. Because leisure increases happiness only when we take a vacation with it.
D. Because households really want to work every day, and leisure gets in the way of work.
Answer: A
You might also like to view...
In the United States, the growth rate of expenditures has been most volatile for
A) durable goods. B) nondurable goods. C) services. D) The volatility has been roughly equal for all three categories of consumption expenditures.
In a closed economy, the formula for private saving is: Sprivate = Y - C - T + TR
a. True b. False Indicate whether the statement is true or false
An increase in the money supply typically leads to
A. a reduction in the velocity of money. B. an inward shift in money demand. C. a decrease in the price level. D. a reduction in the rate of interest.
According to Keynes, aggregate supply determines the level of economic activities in the economy.
Answer the following statement true (T) or false (F)