Which of the following problems may be encountered when calculating GDP of a country?
A There might be less access to information about goverment expenditure.
B It does not take account of population size.
C It is based on a sample "basket of goods.
D Output produced by the informal sector is unreported.
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Explanation:
One problem that is common to all national economies is the black market, where nobody can measure the economic transactions. In the developed economies, the black market is mostly drugs and maybe guns. In developing economies the black market can include anything from drugs to bread and beef.
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