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11. Gross Domestic Product (GDP) and Consumer Price Index (CPI)
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11. Gross Domestic Product (GDP) and Consumer Price Index (CPI)
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11. Gross Domestic Product (GDP) and Consumer Price Index (CPI) / Value Added Method for Measuring GDP / Problem 4
Problem 4
Why is it important to exclude intermediate goods from GDP calculations?
A
To simplify the calculation process.
B
To avoid double counting and overestimating economic output.
C
Because intermediate goods are not sold in the market.
D
Because intermediate goods have no economic value.
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