GDP

Question 1

GDP

Answer 1

gross domestic product; a measure of all the economic activity of companies, governments and individuals in a country

Question 2

how is GDP measured

Answer 2

output, expenditure + income

Question 3

output

Answer 3

the total value of goods and services provided by all sectors of the economy

Question 4

expenditure

Answer 4

the value of goods and services bought by all households and government, investment in machinery and buildings
(also includes value of exports, minus imports)

Question 5

income

Answer 5

the value of the income generated, mostly in forms of profits and wages

Question 6

limitations of GDP

Answer 6

hidden economy + inequality

Question 7

hidden economy

Answer 7

unpaid work isn’t captured in official figures e.e. caring for a child or an elderly relative

Question 8

inequality

Answer 8

GDP doesn’t show how income is split across a population; rising GDP could result from the richest getting richer, rather than everyone becoming better off