Which of the following statements about GDP is correct?
a. Nominal GDP values production at current prices, whereas real GDP values production at constant prices.
b. Nominal GDP values production at constant prices, whereas real GDP values production at current prices.
c. Nominal GDP values production at market prices, whereas real GDP values production at the cost of the resources used in the production process.
d. Nominal GDP values production at the cost of the resources used in the production process, whereas real GDP values production at market prices.
a
You might also like to view...
The value of goods produced, but unsold, in the current period is:
A. allocated to GDP in future periods when the goods are sold. B. counted in GDP as consumption spending. C. excluded from GDP. D. counted in GDP as inventory investment.
Explain how compensation plans like piece rate payment, capitation fees, and hourly payment options resolve the principal/agent problem faced by employers
Historically, one problem found in most regulatory commissions is
a. the government cannot find qualified commissioners b. the U.S. Constitution requires laissez-faire c. the company will headquarter itself in a foreign country d. the regulators become the protectors of the industry e. price is set too low and most regulated firms go bankrupt
Based on the figure below. Starting from long-run equilibrium at point C, a favorable inflation shock that decreases inflation from ? to ?1 will lead to a short-run equilibrium at point ________ creating _____gap. 
A. A; a recessionary B. B; recessionary C. B; expansionary D. A; an expansionary