Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production for that nation. Which of the following scenarios are either not accounted for or measured inaccurately by either the income or the expenditure methods of calculating GDP for the United States? A. Federal government paychecks to soldiers B. The costs of air and water pollution C. The quality of goods available to consumers D. The value of babysitting services, when the babysitter is paid in cash and the transaction isn't reported to the government

D. The value of babysitting services, when the babysitter is paid in cash and the transaction isn't reported to the government.

Explanation:

Generally speaking, individualized services such as babysitting and getting paid is not taken into account when calculating for Gross domestic product. This is one of the problems of GDP accounting. Others are values of services not paid for, insufficient data, money earned through illegal activities, doublecounting and so on.

B) The costs of air and water pollution

C) The quality of goods available to consumers

D) The value of babysitting services, when the babysitter is paid in cash and the transaction isn't reported to the government

Explanation:

The GDP includes the value of all the final and legal goods and services produced within a country during a specific period of time (usually a year).

B) pollution costs are not included in the GDP since they are not products or services

C) the quality of the products is not measured by the GDP, only its value

D) the GDP only accounts for legal services and in order for a service to be legal, it must pay taxes. Since the babysitter doesn't pay taxes, her services cannot be considered legal.

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