GDP Excludes Most Items That Are Produced and Sold Illegally

question 91

Multiple Choice

GDP excludes most items that are produced and sold illegally and most items that are produced and consumed at home because

• A)the quality of these items is not high enough to contribute value to GDP.
• B)measuring them is so difficult.
• C)the government wants to discourage the production and consumption of these items.
• D)these items are not reported on income tax forms.

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Definitions:

Functionalism

A psychological philosophy that considers mental life and behavior in terms of active adaptation to the person's environment.

Mechanical Repetition

The act of repeating an action or a set of words mindlessly or without understanding, often for learning or practice.

Objective Sensations

Perceptions that correspond to external stimuli and are not influenced by personal feelings or interpretations.

Positive Reinforcement

A process in behavioral psychology where the introduction of a positive stimulus following a desired behavior increases the likelihood of that behavior being repeated.