What Would Happen to GDP If the Amount of Pollution

question 150

Multiple Choice

What would happen to GDP if the amount of pollution increased, ceteris paribus?

• A) GDP would decrease since consumption would be lower.
• B) GDP would decrease since government spending would have to increase.
• C) GDP would remain the same since an increase in consumption would be offset by a decrease in investment.
• D) GDP would remain the same since pollution is not reflected in the value.

---

Definitions:

Intentional Conduct

Describes actions undertaken with the aware intent to cause a particular result or outcome.

Legal Imperialism

American insistence that all disputes be resolved under American law.

Corporate Governance

The system of rules, practices, and processes through which a company is directed and controlled, focusing on balancing the interests of its various stakeholders.

American Law

The legal system of the United States, including its statutes, regulations, case law, and constitutional provisions.