If GDP Calculations Included Measurements of Pollution and Environmental Damage

question 38

Multiple Choice

If GDP calculations included measurements of pollution and environmental damage, GDP values would most likely be

• A)greater than their values without these measurements.
• B)less than their values without these measurements.
• C)unchanged from their values without these measurements.
• D)meaningless, since GDP values without these measurements would no longer be of value.
• E)rising more quickly than they currently are.

---

Definitions:

China's Economic Growth

A phenomenon marked by rapid industrialization, significant increases in GDP, and lifting millions out of poverty, transforming the country into a major global economy.

Individual Initiative

The drive or motivation of an individual to undertake actions on their own accord, often leading to innovation or the starting of new ventures.

Price Mechanism

The process by which the forces of demand and supply determine the prices of goods and services and allocate resources in an economy.

Capitalism

An economic system in which private individuals and businesses own capital goods and the production of goods and services is based on supply and demand in the market.