Question

Why is household work excluded from the estimation of GDP?

• A. It is difficult to estimate the value of household work.
• B. Household work doesn't involve production of goods.
• C. Household work adds no value to the economy.
• D. None of these

Answer 1

The correct option is A

It is difficult to estimate the value of household work.

Household work is excluded from the estimation of GDP because GDP measures the value of economic activity within a country, and it is difficult to estimate the value of work performed by a household.