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Why Are Only Final Goods and Services Included in Measuring

question 133

Essay

Why are only final goods and services included in measuring GDP? Give examples to complete your answer.


Definitions:

Cohesive

Characterized by or causing unity and togetherness among individuals or elements in a group.

Social Facilitation

The tendency for people to perform differently, often better, when in the presence of others than when alone.

Dominant Response

The reaction that is most likely to be exhibited by an individual in a given situation due to its strength or frequency of reinforcement.

Ingroup Bias

The inclination to prefer individuals from one's own group above those from outsider groups, frequently resulting in bias and unfair treatment.

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