Answered

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Suppose a friend claims he is helping the ecotiomy by throwing trash on the street rather than in trash cans because the extra expenditures neciessary to clean up the streets will increase GDP. Your friend is:
A. Wrong GDP will not be affected because this is riot a socially desirable use of resources and will therefore not be included in GDP
B. Right GDP will increase, ceteris paribus.
C. Wrong GDP will not be affected because nothing new is beins produced.
D. Wrong GDP will decline because the neighiborhood will be less clean

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