Question

In which situation might GDP (gross domestic product) NOT be an accurate indicator of the health of a country's economy? A) The country is embarking on large public works projects. B) The country has recently joined a new trade organization. C) The country relies on agriculture for most of its export revenues. D) The country has suffered a disaster and is receiving financial aid from overseas.

Answer 1

The country has suffered a disaster and is receiving financial aid from overseas.

In this situation, the availability of money for purchasing goods and services may not accurately reflect economic growth in the country.

So your answer is D.

Answer 2

ANSWER:

GDP might not be an "accurate indicator" of the health of a "country's economy" when the country has "suffered a disaster" and is receiving "financial aid" from overseas.

EXPLANATION:

• When the country is suffering a disaster then the GDP might not be the accurate indicator of the heath of country’s economy.

• The accidental or disaster causes the sudden decrease on heath of country’s economy. Also, the financial aid is not considered for indicating the GDP of country.