In other words no sales receipt is provided again the

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Unformatted text preview: h instead of by check and that no written record of the transaction be made. In other words, no sales receipt is provided. Again the person agrees. The payment for these gardening services does not find its way into GDP. A cash payment and no sales receipt mean that no evidence shows that a transaction was ever made. Some Nonmarket Goods and Services Some goods and services are traded, but not in an official market setting. Let’s say that Eileen Montoya cooks, cleans, and takes 11 (286-309) EMC Chap 11 11/17/05 6:05 PM Page 291 care of all financial matters in the Montoya household. She is not paid for doing these activities; she does not receive a weekly salary from the family. Because she is not paid, the value of the work she performs is not counted in GDP. Jayne has three young boys, ages 2 to 6. She cuts their hair every few weeks. The “market value” of these haircuts is not counted in GDP. However, if Jayne took her boys to a barber, and he cut their hair, what the barber charged for haircuts would be cou...
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This document was uploaded on 01/16/2014.

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