Real GDP measures the ________ of production; nominal GDP measures the ________ of production.
A. current dollar value; current dollar value
B. current dollar value; market value
C. current dollar value; physical volume
D. physical volume; current dollar value
Answer: D
You might also like to view...
What is the main shortcoming of the Big Mac Index?
What will be an ideal response?
The majority of Americans at the end of the colonial period were of
(a) French origin. (b) British origin. (c) German origin. (d) Dutch origin.
Marcia has four savings accounts. Which account has the largest balance?
a. $100 deposited 1 year ago at an 8 percent interest rate b. $100 deposited 2 years ago at a 4 percent interest rate c. $100 deposited 4 years ago at a 2 percent interest rate d. $100 deposited 8 years ago at a 1 percent interest rate
You have been hired by a data processing firm to provide economic advice. The owner of the firm tells you that the firm's only variable input is the number of data-entry operators. The hourly wage for data-entry operators is $10.00. The marginal revenue product curve for data-entry operators reaches its maximum at three workers with a marginal revenue product of $12.00. What advice would you give this firm?
A. Decrease the wage rate paid to data-entry operators so that their marginal revenue product will decrease. B. Hire three data-entry operators so as to maximize profits. C. Hire data-entry operators until the marginal revenue product is equal to the wage-which will occur when more than three operators are employed. D. Shut down immediately, as the firm is not able to cover all of its variable costs.