Why Are Illegal Activities, Unreported Activities, and Non-Market Activities Excluded

question 64

Multiple Choice

Why are illegal activities, unreported activities, and non-market activities excluded from GDP?

• A)They do not contribute to human welfare.
• B)They are morally repugnant.
• C)The do not contribute to the true national output of goods and services.
• D)They are difficult to measure.
• E)They do not have an opportunity cost.

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Definitions:

Research Topic

A research topic is the subject or area of interest that guides the direction of a scholarly study or investigation.

Overgeneralization

The cognitive bias of applying a general rule too broadly, ignoring exceptions or variations.

Working Class

A social group consisting of people who are employed in low-paying wage jobs, often involving manual or industrial labor, and lacking significant economic or political power.

Blue Jeans

A type of casual pants made from denim, originally designed as workwear but now widely worn for various occasions.