Because GDP Does Not Account for Improvements in the Quality

question 75

Multiple Choice

Because GDP does not account for improvements in the quality of goods, the GDP calculation:

• A) tends to overstate the true value of output in the United States.
• B) tends to understate the true value of output in the United States.
• C) provides an accurate value of output in the United States.
• D) provides the best measure of output in the United States.

---

Definitions:

Piracy

Copying a software program (other than freeware, demo software, etc.) without making payment to the owner.

Software Vendors

Companies or individuals that develop, maintain, and sell software products or services.

Annually

Occurring once every year.

OS

Operating System, the software that supports a computer's basic functions, such as scheduling tasks, executing applications, and controlling peripherals.