Gross Domestic Product (GDP) Research Paper Example | Topics and Well Written Essays - 750 words - 1

unadulterated Domestic Product (GDP) - Research Paper ExampleHowever, it does not immoral that other instruments such as crime, unemployment rate and pollution levels are at low or minimum levels. This is because GDP does not factor these issues in the above equation and does not take these issues into consideration. As such, a positive GDP go out not necessarily mean a country has a low unemployment rate when the economy is impregnable. Logic on the wholey, if a country has positive GDP growth, it means that economy is good. Thus, businesses profit and demand for poke to meet the market demands for supply of goods and services grows. Increased demand for labor will also solution in high wages offered and lead to a decrease in the unemployment rate. Crime rates whitethorn decrease as people have jobs to support the cost of living only if this factor is not calculated in the equation.So when the economy is good as shown by the positive GDP, it does not mean that everything is good for its people. As an example, think about the rising cost of health care, which would be classified in the equation as consumer spending (C). Although the increase in consumer spending will contribute positively to the GDP, this is low the mistaken assumption that all individuals in the family can afford higher health care be (Schwartz, 2010). This is also the case for the costs of education and leisure. If a GDP is positive, it does not necessarily mean that all of the people in the country have more money for leisure and can afford higher education costs.A developed nation almost always has a high GDP (Wikipedia), but at what cost does this development come? The question arises as to whether their development is detrimental to the environment. When businesses expand, they will indispensability more space to build offices and other developments for peoples benefit. This will see a reducing in green areas or even deforestation and myriad pollutions by industries- be it air , water or sound pollution- will also