21
QuizMultiple Choice

Measuring the Economy

Question 21 • FL-2106020-M/J Civics Advanced B

What output do economists use when calculating an economy’s productivity?

Answer
A
gross domestic product
B
gross domestic product per capita
C
total number of work hours
D
total wages of all workers

Explanation

Economists measure productivity by comparing the economy’s output with the inputs used to produce it. Gross domestic product (GDP) measures the total value of goods and services produced, so it is the output measure used in this calculation. GDP per capita adjusts output for population, while work hours and wages are inputs or costs rather than total output.

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