Suppose an Apartment Complex Converts to a Condominium (I

question 164

Multiple Choice

Suppose an apartment complex converts to a condominium (i.e., the renters become owners of their apartments) . Suppose the value of the condominium owners' housing services is now the same as their former rent. What happens to GDP?

• A) GDP necessarily increases.
• B) GDP necessarily decreases.
• C) GDP is unaffected because neither the rent nor the estimate of the value of housing services is included in GDP.
• D) GDP is unaffected because previously rent was included in GDP, and now it is replaced by the estimate of the value of housing services.

---

Definitions:

Decision-Making Strategy

A plan or methodology employed to choose among alternatives and make informed decisions.

Ground Rules

Procedural rules adopted by groups to make meetings and processes run smoothly.

Positive Roles

Refers to constructive or beneficial functions played by individuals or elements within a system or society.

Task Goals

Specific objectives set for a task or project, outlining expected outcomes and achievements.