Accurate welfare measurement requires counting all goods and services people consume

Evidence

To measure welfare accurately, the consumption concept must be comprehensive. All goods and services that contribute to people’s standard of living need to be included in the measure, which can be thought of as a practical approximation to an indirect utility function or money-metric measure of welfare. — Gary Goertz, Social Science Concepts and Measurement, 241

Categorization

• DEFINE: Stipulates what ‘comprehensive consumption’ means: a practical proxy for an indirect utility function or money-metric welfare measure.