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Question : While computing Net Economic Welfare (NEW), which of the following items is subtracted from Gross National Product (GNP)?

Option 1: Value of leisure time

Option 2: Adjustments for congestion of urban life

Option 3: Do-it-yourself activities

Option 4: The underground economy


Team Careers360 7th Jan, 2024
Answer (1)
Team Careers360 11th Jan, 2024

Correct Answer: Adjustments for congestion of urban life


Solution : The correct answer is Adjustments for the congestion of urban life.

Adjustments for the crowded and busy nature of urban life are necessary because they reduce the enjoyment and happiness of living in cities. To calculate Net Economic Welfare (NEW), these values are subtracted from the Gross National Product (GNP).

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