The Meaning & Measurement of Economic Development Mcqs

Q.  Which of the following is not a problem in comparing developed and developing countries GNP ?

a. GNP is understated for developed countries, since a number of items included in their national incomes are intermediate goods
b. The economic contribution of a housewife is a peasant family may not be measured is GNP is poor country
c. GNP in understated for developing countries since many of their labor intensive good have no impact on exchange rate since they are not traded
d. GNP is overstated for for countries where the price of foreign exchange is less than market clearing price


ANSWER: See Answer
 
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