Choose the Best Answer

question 66

Multiple Choice

Choose the best answer. Real GDP tends to overstate our economic well-being by including:

• A) expenditures on crime prevention.
• B) payments for cleaning up the environment.
• C) repairs to structures destroyed by storms.
• D) expenditures on crime prevention, payments for cleaning up the environment, and repairs to structures destroyed by storms.

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Definitions:

Excise Tax

A tax on the production, sale, or consumption of a particular good or service, often levied by the government.

SUVs

Sport Utility Vehicles characterized by their capacity to accommodate more passengers, their off-road capabilities, and higher driving position.

FICA Tax

A United States federal payroll tax imposed on both employees and employers to fund Social Security and Medicare—federal programs that provide benefits for retirees, the disabled, and children of deceased workers.

Employers

Individuals or entities that hire and pay others for their labor or services in a variety of employment contexts.