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Rachel’s babysitting will be included in GDP when she babysits for someone else, but not when she babysits for her sister.

What is GDP?

GDP which means Gross domestic product refers to the standard measure of the value added created through the production of goods and services within a certain period usually a quarter or a year, in a country. As such, it also measures the income earned from that production, or the total amount spent on final goods and services (less imports).  The national statistical agency of the country following the international standard is responsible for calculating the GDP.

Learn more about Gross domestic product (GDP) from:

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