Friday, 6 August 2021

Intermediate goods are not included from GDP because

 Intermediate goods are not included from GDP because

a) Their inclusion would understate GDP
b) Their inclusion would involve double counting
c) Value of intermediate goods is unknown
d) They represent goods that have never been purchased so they cannot by counted
e) The premise of the question is incorrect because intermediate goods are directly included in calculating GDP
Answer : b) Their inclusion would involve double counting

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