Exams › SSC CGL (Prelims) › General

Assertion (A): GDP does not fully reflect income distribution. Reason (R): GDP measures total output, not equality.

1. Both A and R are true and R explains A
2. Both A and R are true but R does not explain A
3. A is true but R is false
4. A is false but R is true

Correct answer: Both A and R are true and R explains A

Solution

Both the assertion and reason are true. GDP measures total output of an economy, so it does not indicate how income is distributed among individuals, which is why the reason explains the assertion.

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