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Gdp as an index of welfare …

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Gdp as an index of welfare may understate or overstate welfare.

    • Posted by Preyashi Rajput 6 years, 8 months ago

    CBSE > Class 12 > Economics
    • 2 answers

    Vishal Iyer 6 years, 8 months ago

    GDP is not a true index for welfare... Let's take an example now in a country the inflation rate in increasing steadily, but this doesn't affect the GDP.... But still the poor people of the country ate suffering due to high prices of commodities.

    1Thank You

    J K 6 years, 8 months ago

    Yes because of some factors as:- unequal distribution of income 2.compostion of income 3.non-monetry transaction and 4.externalities

    1Thank You

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