Bobby was researching the economic growth of a country between 2006 and 2011. Using 2006 as the base year, he calculated a twelve percent increase for real GDP and a ten percent increase for nominal GDP. His results indicate that
A) he made an error when calculating nominal GDP.
B) the quantity of goods and services produced decreased over the period.
C) the quantity of goods and services produced increased and prices decreased over the period.
D) the quantity of goods and services produced and prices both decreased over the period.
E) the quantity of goods and services produced did not change and prices decreased over the period.
C
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A car dealer sells you a car today in exchange for money in the future. This illustrates which function of money?
A) standard of deferred payment B) unit of account C) medium of exchange D) store of value
If the total utility for eating up to five $2.00 hamburgers is 40, 60, 70, 75, 70, respectively, which of the following is true?
a. A rational consumer would choose to eat five hamburgers at the price of $2.00 b. A rational consumer would choose to eat five hamburgers only if the price was reduced to $1.00. c. A rational consumer would choose to eat five hamburgers only if the 5th hamburger as free. d. A rational consumer would have to be compensated to eat the 5th hamburger.