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A woman marries her butler. Before they were married, she paid him $30,000 per year. He continues to wait on her as before (but as a husband rather than as a wage earner). She earns $1,000,000 per year both before and after her marriage. The marriage: Question 10 Answer a. Decreases GDP by more than $30,000. b. Decreases GDP by less than $30,000. c. Decreases GDP by $30,000. d. Increases GDP by $30,000.

          A woman marries her butler. Before they were married, she paid him $30,000 per year. He continues to wait on her as before (but as a husband rather than as a wage earner). She earns $1,000,000 per year both before and after her marriage. The marriage:
Question 10 Answer
a.
Decreases GDP by more than $30,000.
b.
Decreases GDP by less than $30,000.
c.
Decreases GDP by $30,000.
d.
Increases GDP by $30,000.
        
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Principles of Economics
Principles of Economics
Gregory Mankiw 8th Edition
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A woman marries her butler. Before they were married, she paid him $30,000 per year. He continues to wait on her as before (but as a husband rather than as a wage earner). She earns $1,000,000 per year both before and after her marriage. The marriage: Question 10 Answer a. Decreases GDP by more than $30,000. b. Decreases GDP by less than $30,000. c. Decreases GDP by $30,000. d. Increases GDP by $30,000.
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Transcript

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00:01 So while seeing the question, let's put a move to the answer.
00:02 So let's see here that the first one is how the work is not measured in gdp.
00:23 As more women work outside the home set par, gdp increases.
00:54 And the second point is prior to entering the workforce, more work was done by women in the home.
01:33 As women enter the labor force, measured work increases.
02:06 But unmeasured work probably decreased.
02:34 And the third point is the work done by the gardener is now done in his or her own home.
03:13 Since homework is not measured, gdp falls...
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