Over time, people have come to rely more on market-produced goods and services and less on goods and services they produce for themselves. For example, busy people with high incomes, rather than cleaning their own houses, hire people to clean their houses. By itself, this change has:

Question

Boots

Social Studies

6 June, 08:19

Over time, people have come to rely more on market-produced goods and services and less on goods and services they produce for themselves. For example, busy people with high incomes, rather than cleaning their own houses, hire people to clean their houses. By itself, this change has:

+3

Answers (1)

Know the Answer?

Evony · Answer 1

The question is incomplete, the complete question is

Over time, people have come to rely more on market-produced goods and services and less on goods and services they produce for themselves. For example, busy people with high incomes, rather than cleaning their own houses, hire people to clean their houses. By itself, this change has

A. caused measured GDP to fall.

B. not caused any change in measured GDP.

C. caused measured GDP to rise.

D. probably changed measured GDP, but in an uncertain direction; the direction of the change depends on the difference in the quality of the cleaning that has resulted.

Answer:

The right answer is C

Explanation:

GDP (Short for Gross Domestic Product) is a measure of the value of economic activity in a region especially a country. A rising GDP indicates a growing economy. There are more sales of products and services

In the case whereby high income people employ people to do their house cleaning, they have created another avenue for services to be bought and sold which adds to the GDP of the nation.