If We Use GDP to Measure Our Standard of Living

question 30

Multiple Choice

If we use GDP to measure our standard of living, then our procedure is

• A) inaccurate because our standard of living has nothing to do with goods and services.
• B) inaccurate because our standard of living does not depend only on goods and services.
• C) inaccurate because our standard of living only depends on used goods and services.
• D) accurate only if we use nominal GDP rather than real GDP.
• E) accurate because our standard of living depends solely on goods and services.

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Definitions:

Counting Compulsion

An obsessive-compulsive behavior that involves an uncontrollable urge to count objects or actions.

Cleaning Compulsion

An obsessive need to clean or organize, often as a symptom of obsessive-compulsive disorder, where the action is driven by an attempt to reduce distress or anxiety.

Cognitive-Behavioral Theorist

A professional specializing in the study and application of cognitive-behavioral therapy, emphasizing the role of thinking and behavior in the development and treatment of psychological disorders.

Exposure And Response Prevention

A therapeutic strategy used primarily for obsessive-compulsive disorder that involves gradual exposure to anxiety-inducing stimuli combined with efforts to prevent the habitual response.