When considering GDP as a measure of the nation\'s economic performance, which o

ID: 1151800 • Letter: W

Question

When considering GDP as a measure of the nation's economic performance, which of the following statements is not true?

Question options:

GDP is useful to map changes in the economy's domestic economic performance over time.

GDP would be a better measure of economic performance if it included nonmarket activities.

GDP is a good measure of a nation's overall welfare.

GDP is underestimated because it does not include illegal activities.

GDP is useful to map changes in the economy's domestic economic performance over time.

GDP would be a better measure of economic performance if it included nonmarket activities.

GDP is a good measure of a nation's overall welfare.

GDP is underestimated because it does not include illegal activities.

Option C.

GDP may not always be a good measure of welfare

GDP only describes the value of all finished goods produced with in an Economy over a certain period of time.

There are several ways to measure GDP, but neither of them includes any indicator of welfare or well being.

GDP is not meant to measure well being, hence it cannot be a good measure that influences a nation's welfare.

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