Question

The genuine progress indicator is a more representative measure of the wealth and well-being of a country than the gross domestic product because the GPI

(a) measures productivity and consumption without taking externalities into account.
(b) has risen in the United States while the GDP has remained fairly constant since 1970 .
(c) includes resource depletion and pollution and health of the population in its calculation.
(d) can be increased by higher health care costs and a greater incidence of illnesses.
(e) does not reflect personal consumption, income distribution, or levels of higher education

Answer 1

The Genuine Progress Indicator is a more representative measure of a country's wealth and well-being compared to GDP because it considers externalities and factors that GDP does not. The GPI includes resource depletion, pollution, and the health of the population in its calculation, while also accounting for personal consumption, income distribution, and levels of higher education.

Step-by-step explanation:

Gross Domestic Product (GDP) is often used as a measure of a country's wealth and well-being. The Genuine Progress Indicator is a more representative measure of a country's wealth and well-being compared to GDP because it considers externalities and factors that GDP does not. The GPI includes resource depletion, pollution, and the health of the population in its calculation, while also accounting for personal consumption, income distribution, and levels of higher education.

However, the Genuine Progress Indicator (GPI) is considered a more representative measure because it takes into account factors that GDP does not, such as externalities and resource depletion. Unlike GDP, the GPI includes the effects of pollution, resource depletion, and the health of the population in its calculation.

It also accounts for changes in income distribution, levels of higher education, and personal consumption. While GDP may provide a rough estimate of a country's standard of living, the GPI offers a more comprehensive view of a nation's wealth and well-being.