Real GDP Is Not a Perfect Indicator of Economic Welfare

question 354

Multiple Choice

Real GDP is not a perfect indicator of economic welfare because

• A) it includes the underground economy.
• B) it includes a direct measure of health and life expectancy.
• C) it underestimates inflation.
• D) economic welfare depends on many factors not measured or not measured accurately by real GDP.

---

Definitions:

Adult

A person who has reached the age of majority as legally defined, typically characterized by physical growth completion, sexual maturity, and legal responsibility for their actions.

Hypernatremia

A medical condition characterized by an abnormally high concentration of sodium in the blood.

Serum Sodium

The concentration of sodium ions present in the serum component of blood, important for maintaining fluid balance and nerve and muscle function.

Diastolic Blood Pressure

The pressure in the arteries when the heart rests between beats, indicating the minimum blood pressure.