Social Sciences, asked by Shahed6726, 1 year ago

Incuding GDP not in agriculture is the matter of problem explain

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Answered by vansh9318
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using GDP is the measure of welfare has when no problem which are among the first thing macroeconomic principal course cover but the point of the discussion at divorce is that in the detail is those problem are even Deepa standard GDP statistics many of Technology benefit so we need to rethink how we measure the typical person wEl being

the textbook January point out 5 problem with using GDP as measure of well being

1 GDP counts bags as well as a goods when an earthquake hit and required rebuilding GDP increase when someone get sick and money is spent on their care its counted as part of GDP but nobody would give that we are better off because of a destructive earthquake on people getting sick

2. GDP make no adjustment for your time imagine to economic with identical standard of living but in one economic the birthday average 12 hour will in the other it is only 8

3 GDP only count good true of Asia organised market so it is message on production and black market activity this is big omission particularly in developing country where much of words consume is produced at home this is also milk if people being earring other to clean their home instead of doing it themselves aur is De go out to dinner instead of cooking at home GDP will appear to grow even through the total amount produce has not changed

4 GDP does not adjusted for distribution of goods again imagine to economic but this time one has a ruler who gets 90% of what production and everyone else subsiston what left over in the second and the distribution considered Lee more equitable in both cases GDP per capital will be same

5 Atlas problem GDP is not adjusted for population cause if two economic have the same GDP per capital but one has polluted air and water win the other does not well being will be different but GDP per capital to not capture it

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