Question

Which of the following are included in Canadian GDP calculations?

(a) cleaning services performed by a cleaning company (b) washing your own car

(c) drugs sold illegally on a local street corner

(d) prescription drugs manufactured in Canada and sold at a local pharmacy

(e) a rug woven by hand in Turkey

(f) air pollution that diminishes the quality of the air you breathe

(g) toxic waste cleanup performed by a local company

(h) car parts manufactured in Canada for assembly of a car in Mexico

(i) a purchase of 1000 shares in a Canadian-owned high-tech company (j) a monthly Canada Pension Plan payment received by a retiree

1. Which of the following are included in Canadian GDP calculations? (a) cleaning services performed by a cleaning company (b) washing your own car (c) drugs sold illegally on a local street corner (d) prescription drugs manufactured in Canada and sold at a local pharmacy (e) a rug woven by hand in Turkey (f) air pollution that diminishes the quality of the air you breathe (g) toxic waste cleanup performed by a local company (h) car parts manufactured in Canada for assembly of a car in Mexico (i) a purchase of 1000 shares in a Canadian-owned high-tech company () a monthly Canada Pension Plan payment received by a retiree

Answer 1

GDP will include the final value of all those goods and services that are produced within the national territories of Canada. It will not include intermediate goods transactions related to the parallel economy or black economy second hand goods stock market transactions household work and work done for self

A) yes because the company will charge a price and it will be a bilateral transfer

B) no because you will not charge yourself a price

C) no because it is a part of parallel economy

D) yes because they are manufactured within the country

E) no

F) no

G) no

H) yes

I) no

J) no