To avoid double counting when GDP is estimated economists ........

Economics- Phase (I & II) National Income Accounting

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To avoid double counting when GDP is estimated, economists:

Use GDP deflator

Calculte value added at each stage of production

Use retail prices

Use price of only intermediate goods

the value of labor in the chain of production

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Explanation:

To avoid double counting—adding the value of output to the GDP more than once—GDP counts only final output of goods and services, not the production of intermediate goods or the value of labor in the chain of production. The gap between exports and imports is called the trade balance.