While Net Domestic Product (NDP)is Theoretically a Better Measure of Economic

question 95

Multiple Choice

While net domestic product (NDP) is theoretically a better measure of economic activity than gross domestic product (GDP) , GDP is used more frequently because:

• A)consumption, which is included in NDP but not GDP, is difficult to measure.
• B)investment, which is included in NDP but not GDP, is difficult to measure.
• C)net exports, which are included in NDP but not GDP, are difficult to measure.
• D)depreciation, which is included in NDP but not GDP, is difficult to measure.

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