Sally Prepared Her Own Meals During the First Quarter of 2010

question 110

Multiple Choice

Sally prepared her own meals during the first quarter of 2010, and then ate at restaurants every day in the second quarter of 2010. What is the impact on GDP of Sally's change of habit?

• A)It necessarily raises GDP.
• B)It necessarily reduces GDP.
• C)It raises GDP because the restaurant meals are more expensive.
• D)It has no impact on GDP.

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Definitions:

Adaptive Change

A form of change that requires individuals, teams, or organizations to adjust their underlying assumptions and strategies in response to anticipated or actual shifts in the environment.

Developing

The process of growing or causing something to grow, evolve, or become more advanced.

Clarifying

The process of making statements or concepts less confused and more clearly comprehensible.

Plans

Detailed proposals for doing or achieving something, often indicating the timing and sequence of actions involved.