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Which of the following conceal the real level of Gross Domestic Product?
1. Black money in the economy
2. Household services by women
3. Voluntary and charitable work
4. Pollution of a water body
Which of the above statement(s) is/are correct?
1 and 4 only
2 and 3 only
1 and 2 only
1, 2, 3 and 4
Black money in the economy is unaccounted money. It is the money generated in illegal activities or legal activities for which tax has not been paid. This amounts to not reporting the production of goods and services in the economy and hence it conceals the real level of GDP. Household services by women and Voluntary and charitable works are forms of care economy, hence it conceals the real level of GDP. Pollution of a water body is a form of Green economy and it is not calculated in India while calculating GDP.
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