Which of the following would be excluded from the gross domestic product (GDP)?
A)The mayor of a city hiring more workers to improve the sanitation of the city
B)The sale of mobiles decreasing significantly
C)The government reducing welfare benefits
D)A homemaker spending $20 taking the family out to lunch instead of cooking food ,
E)A consumer having his pickup truck tuned up at the local garage

Question

Quizplus · Accepted Answer

Welfare benefits are transfer payments and do not reflect the production of goods or services, hence they are excluded from GDP calculations.

Which of the Following Would Be Excluded from the Gross