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Why Are the Values of Inputs Not Included in the Calculation

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Why are the values of inputs not included in the calculation of the GDP?


Definitions:

Standard of Living

Refers to the level of wealth, comfort, material goods, and necessities available to a certain socioeconomic class or a geographical area.

Absolute Poverty

Not having enough money to afford the basic necessities of life.

Extreme Poverty

A condition characterized by the severe lack of access to basic human needs, such as food, safe drinking water, and shelter, often defined as living on less than $1.90 a day.

Basic Poverty

A condition where individuals or families lack the financial resources to meet the minimum standards of living, often defined by basic necessities such as food, clothing, and shelter.

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