Gross Domestic Product (GDP)is Not a Perfect Measure of Welfare

Multiple Choice

Gross domestic product (GDP) is not a perfect measure of welfare because it:

A) treats a dollar spent on guns the same as a dollar spent on education.
B) treats a dollar spent on exports the same as a dollar spent on imports.
C) double counts the value of leisure time.
D) double counts depreciation.
E) counts illegal activities in the underground economy.