Why is tracking GDP a good way to evaluate the impact of governmental decisions on society?(1 point)
Responses
The GDP is a marketplace in which stocks are bought and sold.
The GDP is a marketplace in which stocks are bought and sold.
The GDP can help measure the total production of goods and services around the world.
The GDP can help measure the total production of goods and services around the world.
The GDP can help track the stability of prices.
The GDP can help track the stability of prices.
The GDP can help track changes in employment.
The GDP can help track changes in employment.
The correct response is:
The GDP can help track changes in employment.
Tracking GDP allows governments to assess the impact of their decisions on society, as changes in GDP can indicate changes in employment rates. For example, if GDP is increasing, it suggests that more goods and services are being produced, which can lead to more job opportunities and lower unemployment rates. Conversely, if GDP is decreasing, it could imply a decline in employment opportunities. Therefore, monitoring GDP helps governments understand the effectiveness of their policies and the overall well-being of society.