Which statistic is the best single measure of an economy's well-being?
A) unemployment rate
B) inflation rate
C) gross domestic product
D) trade balance

Question

Quizplus · Accepted Answer

Gross domestic product (GDP) is the best single measure of an economy's well-being as it reflects the total value of goods and services produced within a country's borders in a given period, usually a year. Unlike unemployment rate or trade balance, GDP captures the overall size and growth of the economy. And unlike inflation rate, GDP reflects both the quantity and the price of goods and services, making it a more comprehensive indicator of economic performance. However, GDP is not a perfect measure, as it does not capture the distribution of income, the quality of life, or the environmental impact of economic activity.

Which Statistic Is the Best Single Measure of an Economy's