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Economics (AS & A Level) · May / June 2026 · Paper 12 · Question 16

9708National income statistics

Why might Gross Domestic Product (GDP) not be a useful measure of economic output?

  1. AApplication of technology has enabled a smaller size of workforce to achieve greater productivity.
  2. BDamage to the environment is often unquantified or even ignored.
  3. CLand reclamation has created more urban space to overcome crowding.
  4. DShortages in labour supplies have been overcome by international migration of labour.

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Correct answer: B. Damage to the environment is often unquantified or even ignored.

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