If Families Began Doing Each Other's Laundry for Pay,GDP Would

question 307

Multiple Choice

If families began doing each other's laundry for pay,GDP would

• A)rise.
• B)fall.
• C)remain unchanged because services are not included in GDP.
• D)remain unchanged because laundry is not a final gooD.

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Definitions:

Economic Growth

An increase in the production of economic goods and services, compared from one period of time to another.

Production

The process of combining various material inputs and immaterial inputs (plans, know-how) to make something for consumption.

Black Plague

A devastating global epidemic of bubonic plague that struck Europe and Asia in the mid-1300s, significantly reducing the world's population.

Production Possibilities Curves

A visual depiction that illustrates the highest possible mix of products and services achievable with a set amount of resources.