The Value of Intermediate Goods Is Not Counted in GDP

question 86

Multiple Choice

The value of intermediate goods is not counted in GDP

• A)to keep from including goods that reduce society's welfare.
• B)because of the tremendous difficulty in keeping track of all the intermediate goods produced in an economy as large as that of Canada.
• C)because they are only sold in factor markets.
• D)to avoid counting their value twice and overstating the value of GDP.
• E)because they are not consumed in the current year.

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Definitions:

Mitochondria

Organelles within cells that convert energy from food into a form that cells can use, often called the "powerhouse of the cell".

Catabolized

Refers to the breakdown of complex molecules into simpler ones within the body, usually for the release of energy and the recycling of components.

ATP

Adenosine triphosphate, a molecule that carries energy within cells, supporting various physiological functions including muscle contraction and nerve impulse propagation.

Warm-up

Activities or exercises performed before a workout or physical activity to prepare the body and reduce the risk of injury.