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Sally Prepared Her Own Meals During the First Quarter of 2010

Question 110

Multiple Choice

Sally prepared her own meals during the first quarter of 2010, and then ate at restaurants every day in the second quarter of 2010. What is the impact on GDP of Sally's change of habit?


A) It necessarily raises GDP.
B) It necessarily reduces GDP.
C) It raises GDP because the restaurant meals are more expensive.
D) It has no impact on GDP.

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