Use the following table for a hypothetical single-product economy. year units of output price per unit price index (1=100) 1 10 10 100 2 12 20 200 3 15 30 300 4 20 40 400 Refer to the above data. Nominal GDP in year 3 is:
a) $100.
b) $450.
c) $225.
d) $150.
b) $450.
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Economics is the study of how ________ manages its ________ resources to satisfy its wants
A) society; unlimited B) society; scarce C) a household; unlimited D) a household; scarce
According to "Oil Spikes On OPEC Pact," OPEC wants to behave like a monopoly, choosing a rate of industry output that maximizes total industry profit. The challenges for all cartels, OPEC in particular, include all of the following except
A. Replicating monopoly outcomes. B. Coordination. C. Allocating market share. D. Preventing some members from decreasing production.
Short-run total cost is defined as
A) the sum of marginal cost and total variable cost. B) price of labor per unit multiplied by the number of labor units. C) total fixed cost plus total variable cost. D) total capital cost only.
Refer to the diagram. Assume that G and T 1 are the relevant curves and that the economy is currently at B, which is its full-employment GDP. This economy has a:
A. cyclically adjusted budget surplus only.
B. cyclically adjusted budget deficit only.
C. cyclically adjusted budget surplus and an actual budget surplus.
D. cyclically adjusted deficit and an actual budget deficit.