Putting A Value On Domestic Output That Is Not Included In GDP

This article explains why a household with one person employed that earns $50,000 per year has a higher standard of living that a household with two employed members each earning $25,000.  In the second household, the value of household production, which contributes to living standards, is lower.

One of the most important outputs of households is their contribution to the development of human capital.  We don't measure it, but our economy would not be as productive without it.  Some economists argue that productive parenting is among our most important inputs into human capital development.  I would argue that productive parenting is also an invaluable input into formal schooling.  Any teacher will second that point.