Notice: Payments for answers will end 4/10/2017. Click for more info.
You have new items in your feed. Click to view.
Question and answer
Q: Identify three criticisms of GDP as a measure of economic activity. Do you agree with these criticisms? Why or why not?
A: Criticism of the GDP: 1. Everything that can be sold and has an aggregate monetary value will increase the GDP and growth, which not necessarily means sustainable development and increased individual and collective well-being. [ The GDP positively records all forms of evil and destruction, such as increase in the number of accidents, progression of illnesses stemming from food insecurity,
pollution… (which, to be offset, requires defensive expenditures) the same way it accounts for common well-being resources (education and participation in cultural and leisure activities in a society where people are healthy, for instance). In other words, the two societies would have the same increase in the GDP, once the GDP computes all resources as increase in GDP, regardless of their purpose. It would be necessary to suppress the GDP increase of the first hypothetical society to better assess the actual creation of wealth (the one that contributes to well-being). The same idea can be applied to expenses on repairing environmental damage caused by human activities: pollution, depletion of natural resources, which lead to decreased well-being. 2. Well-being losses caused by economic growth are not measured anywhere. Despite having no commercial value, they may have a huge value for our well-being and that of future generations. The destruction, for instance, of the Amazon Forest is an activity that makes the world GDP increase (value of the timber harvested and the tractor to cut it down, etc.). The resulting loss of natural capital, its effects on the climate, biodiversity, and the long-term needs of future generations are not measured anywhere. In other words, the GDP does not deduct the losses of natural capital, but makes additions to account for its organized destruction. Besides these examples in which well-being losses are not recorded, there are others in which gains – or essential contributions to well-being – are disregarded, including the following: 3. Many activities and resources that contribute to the well-being are unaccounted for, simply because they are not commercial or because they have no direct monetary production costs. ]
Expert answered|matahari|Points 2499|
Asked 9/14/2013 3:33:31 PM
0 Answers/Comments
Get an answer
New answers

There are no new answers.


There are no comments.

Add an answer or comment
Log in or sign up first.
26,403,759 questions answered
Popular Conversations
Solve 3x - 1 = 10
Weegy: The solution for |2x + 1| = 10 is x = 9/2 , or x = -11/2 . User: Solve 6x - 2 = 4x + 13 for x.
9/20/2017 1:35:02 PM| 2 Answers
Weegy: 5c - 9 = 8 - 2c the answer is c = 17/7. 5c - 9 = 8 - 2c 5c + 2c = 8 + 9 7c = 17 c = 17/7
9/22/2017 3:57:10 PM| 2 Answers
Weegy: x=-a User: 4x144
9/22/2017 4:22:41 PM| 2 Answers
Over time, the body needs more and more of a drug to get the high ...
Weegy: Prescription or over the counter drugs can lead to a false positive drug test. TRUE. User: If you are upset ...
9/23/2017 2:55:58 AM| 2 Answers
Find the GCF 15, 18, 30
9/19/2017 9:38:43 AM| 2 Answers
What is the layer of material found at the innermost part of wood? ...
Weegy: Heartwood is the layer of material found at the innermost part of wood. User: Which part of the amniotic egg ...
9/14/2017 8:32:42 AM| 1 Answers
samurai who gave an oath of loyalty
9/14/2017 12:59:40 PM| 1 Answers
Weegy Stuff
Points 144 [Total 1880] Ratings 4 Comments 104 Invitations 0 Offline
Points 73 [Total 84] Ratings 5 Comments 23 Invitations 0 Offline
Points 30 [Total 30] Ratings 3 Comments 0 Invitations 0 Offline
Points 16 [Total 16] Ratings 0 Comments 6 Invitations 1 Offline
Points 15 [Total 112] Ratings 0 Comments 15 Invitations 0 Offline
Points 11 [Total 11] Ratings 1 Comments 1 Invitations 0 Offline
Points 10 [Total 10] Ratings 1 Comments 0 Invitations 0 Offline
Points 10 [Total 10] Ratings 1 Comments 0 Invitations 0 Offline
Points 10 [Total 10] Ratings 1 Comments 0 Invitations 0 Offline
Points 5 [Total 5] Ratings 0 Comments 5 Invitations 0 Offline
* Excludes moderators and previous
winners (Include)
Home | Contact | Blog | About | Terms | Privacy | © Purple Inc.