Question:
In national accounting, which one of the following activities is excluded from the production boundary?
(1) Services of unlicensed medical practitioners
(2) Services of owner-occupied dwellings
(3) Goods produced by households
(4) Provision of education free of charge by the government
(5) Caring for sick and old people by the members of the household
Correct Answer:
(5)
Answer Explanation:
According to the System of National Accounts (SNA), unpaid domestic services performed by household members for their own household (such as cooking, cleaning, or caring for sick/old relatives) are strictly excluded from the production boundary because they are not traded in the market.
Topic: National Income Year: 2020
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