GDP measures the production levels of any nation. Which of the following
automatically improves if a nation's
production improves?
A. Standard of Living
B. Inflation
C. High unemployment

A. Standard of Living

Explanation:

Gross Domestic Products (GDP) is a measure of the total market value of all finished goods and services made within a country during a specific period.

Simply stated, GDP is a measure of the total income of all individuals in an economy and the total expenses incurred on the economy's output of goods and services in a particular country. Also, Gross Domestic Products (GDP) is a measure of the production levels of any nation.

Basically, the four (4) major expenditure categories of GDP are consumption (C), investment (I), government purchases (G), and net exports (N).

Hence, the standard of living of the people living in a particular country automatically improves if a nation's level of productivity or production improves; they are able to easily pay for goods and services, as well as save and invest their money.

In contrast, inflation and high unemployment rate are indications of economic downturn, recession and low level of productivity (output) in a country; this would automatically affect the standard of living within such countries.

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