Question

Dissatisfaction with public school education has led many parents to try home schooling for their children. If parents reduce their work from a full-time to a part-time load in order to spend time teaching their children at home, how will this affect GDP?

a. Real GDP will increase and nominal GDP will decrease a
b. Both real and nominal GDP will increase.
c. GDP will stay the same
d. GDP will decrease.

Answer 1

d. GDP will decrease.

Step-by-step explanation:

GDP: In economics, the term "GDP" is also referred to as "Gross domestic product", and is described as the standard measure of the value being added and is created via the production of services and goods in a particular country during a specific period. Along with this, GDP also measures the income received or earned by those production in the country, or the total amount that is being spent on the final services and goods.

In the question above, the correct answer is option-d.