Why is GDP not an accurate measure of economic growth?

GDP is a monetary value, it is the "total money value of all final goods and services produced in an economy in one year," therefore it fails to take into consideration any social indicators, whereby the well-being of one society is not taken into consideration. Because it is a quantitative value, and because it fails to take into account social indicators, it is argued that GDP is not an accurate measure, whereby society is made of much more than the total of all economic activity.

MA
Answered by Muna A. Economics tutor

19747 Views

See similar Economics IB tutors

Related Economics IB answers

All answers ▸

Qd=420-30P. From this equation identify the slope of the demand function and calculate the price at 60 units.


What are the non-price determinants of demand?


Evaluate a fixed exchange rate system


Explain the difference between marginal returns to factor and returns to scale?



We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2025 by IXL Learning