GDP

question 85

Multiple Choice

GDP:

• A) is a measure of national wealth.
• B) measures the stock of assets,while national wealth measures production in a year.
• C) measures production in a year,while national wealth measures a stock of assets.
• D) is usually higher than national wealth.

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Definitions:

Market Equilibrium

A condition where the supply and demand in the market equilibrate, leading to stable prices.

Economic Efficiency

The optimal allocation of resources to maximize the production of goods and services, achieved when no further gains can be made without disadvantages.

Economic Action

Activities undertaken by individuals, businesses, or governments to produce, distribute, or consume goods and services within an economy.

Alternative Outcomes

Different possible results or endings that can occur from a set of circumstances or decision-making processes.