Which of the following is a true statement about real and nominal GDP?
A) Nominal GDP is a better measure than real GDP in comparing changes in the production of goods and service year after year.
B) If real GDP increases from one year to the next, we know that production of goods and services has risen.
C) Increases in average prices do not affect the calculation of nominal GDP.
D) If nominal GDP increases from one year to the next, we know that production of goods and services has risen.
B
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The aggregate demand curve plots
A) total expenditures against the level of employment. B) desired expenditures against production. C) employment against the price level. D) planned expenditures against the price level.
If in the long run a firm makes zero profit, it should exit the industry
Indicate whether the statement is true or false
Asymmetric information is a situation in which ________ parties to a transaction have relevant private information that is ________ to the other parties.
A) all; unknown B) some; unknown C) some; known D) all; known
A firm's total cost of production is the
a. employees' opportunity cost b. owners' opportunity cost c. owners' opportunity cost minus the employees' opportunity cost d. owners' opportunity cost plus the employees' opportunity cost e. employees' opportunity cost minus the owners' opportunity cost