Suppose the Government Passes a Law Eliminating Holidays And, as a Result

Multiple Choice

Suppose the government passes a law eliminating holidays and, as a result, the production of goods and services increases because people work more days per year (and thus enjoy less leisure per year) . Based on this scenario, which of the following statements is correct?

A) GDP would definitely increase, despite the fact that GDP includes leisure.
B) GDP would definitely increase because GDP excludes leisure.
C) GDP could either increase or decrease because GDP includes leisure.
D) GDP could either increase or decrease because GDP excludes leisure.