One Major Reason That GDP Is an Inaccurate Measure of the True

question 95

Multiple Choice

One major reason that GDP is an inaccurate measure of the true level of economic activity is that

• A)people frequently buy things they do not want.
• B)it is statistically very inaccurate.
• C)it does not include non-market activities.
• D)it cannot be adjusted for changes in prices.
• E)it includes net exports.

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Definitions:

Avoidance

The act of preventing something from happening or ensuring that one does not become involved in it.

Erroneous Expression

A mistake in speech or writing that deviates from what is correct, true, or accurate.

Reformation

Reformation is a judicial remedy used to correct or modify a written contract or document that does not accurately reflect the true intentions of the parties due to a mistake, misrepresentation, or fraud.

Enforce Contract

The legal process of compelling compliance with the terms of a contract, typically through court action or arbitration.