This week we are learning about economic measures. Though they tell us a lot, there is plenty they do not, or can not, tell us. Using at least one economic measure as an example, explain its limitations and describe additional information or measures that would go well with the particular measure and provide additional illumination
Answer preview
Some measures can be used to complement real GDP measures to determine economic performance. For example, the use of the measure of wealth can help to measure the value of all the assets owned and production made by all people within a country. This would make GDP value inclusive, thus overcoming the limitation of excluding underground and household production (Kumar & Smith, 2018). Another thing that would complement the real GDP measure is measures of leisure time. This will help to measure people’s living standards, which provides information about people’s welfare in an economy. Also, using measures of leisure will
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