underground transactions and non - market activites overstate or understate the value of gdp?\n\nunderstate\n…

underground transactions and non - market activites overstate or understate the value of gdp?\n\nunderstate\n\noverstate

underground transactions and non - market activites overstate or understate the value of gdp?\n\nunderstate\n\noverstate

Answer

Brief Explanations:

GDP measures the market - value of all final goods and services produced within a country in a given period. Underground transactions are unreported economic activities, and non - market activities (like unpaid household work) are not included in market transactions. Since they are not counted in GDP calculations, they cause GDP to be understated.

Answer:

understate