You Hire Some of Your Friends to Help You Move

question 25

Multiple Choice

You hire some of your friends to help you move to a new house.You pay them a total of $200 and buy them dinner at Pizza Hut.Which of the following is true?

• A)The $200 should be counted as part of GDP but not the dinner at Pizza Hut.
• B)If your friends do not report the $200 on their tax forms,it becomes part of the underground economy.
• C)The dinner at Pizza Hut should be counted as part of GDP,but not the $200.
• D)Hiring your friends is an illegal activity and should not be counted in GDP.
• E)Neither the $200 nor the dinner should be counted in GDP because both are household production.

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Definitions:

Relative Strength

A measure of the performance of a stock or financial asset compared to a market index or other stocks over a certain period.

Indicator

A statistic or measure that signals the condition or direction of the economy or financial markets.

Elliot's Wave Theory

A technical analysis concept that markets move in repetitive cycles, which reflect investor emotions and sentiment.

Stock Market Behavior

The way in which stock markets operate and fluctuate, influenced by economic data, company performance, and investor sentiment.