What Is the Result If Professor Mumbler Decorates His Own

question 34

Multiple Choice

What is the result if Professor Mumbler decorates his own home?

• A)This activity is excluded from GDP because it is not productive work.
• B)This activity is excluded from GDP because an intermediate good is involved.
• C)This is a productive activity but is excluded from GDP because no market transaction occurs.
• D)This activity is included in GDP because it reflects production.
• E)This activity is included in GDP only to the extent of Mumbler's opportunity costs.

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Definitions:

Lowest Terms

The simplest form of a fraction, where the numerator and denominator are reduced to their smallest values without changing the value of the fraction.

Fractions

Numerical quantities that represent a part of a whole, typically written with a numerator divided by a denominator.

Mixed Numbers

A number consisting of an integer and a fraction, used to represent quantities greater than a whole but less than two wholes.

Lowest Terms

Lowest terms refer to a fraction that has been simplified to its smallest possible integer numerator and denominator.