Net domestic product is considered to be measure of welfare

Reference no: EM13687005

Net domestic product is considered to be a better measure of welfare than GDP, since it adjusts for the fact that part of GDP should be devoted to replacing physical capital worn out through the course of the year. If we took this principle of adjusting for depreciation more seriously, what other expenditures would you want to deduct from GDP to get a clearer gauge of net national product

Reference no: EM13687005

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