4 ms·
Perhaps more clearly, GDP doesn't distinguish between productive and unproductive activity. The government could pay people to dig ditches and fill them back i
by HiYaBarbie 11y ago
Perhaps more clearly, GDP doesn't distinguish between productive and unproductive activity.
The government could pay people to dig ditches and fill them back in, and that would contribute to the GDP even though it was a complete waste of effort and a net negative considering the opportunity costs.