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O-LevelEconomicsGovernment and the macroeconomy2281/12 · Oct/Nov 2022 · Q201 Mark

An individual decides to employ a professional decorator rather than buying the materials and decorating her house herself. Why would this decision cause GDP to rise?

AThe activity would be recorded as income for the decorator.
BThe individual would have more leisure time.
CThe professional decorator can purchase materials at a discount.
DThe professional decorator would work less efficiently than the individual.

✓ Correct answer

A: The activity would be recorded as income for the decorator.

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About this question

Topic
Government and the macroeconomy, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source
O-Level Economics, Oct/Nov 2022 Paper 1 Variant 2, question 20.

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