Nominal gross domestic product is based on the existing prices at which final goods are actually sold

If two countries specialize in the production of goods in which they have a comparative advantage, they can experience gains from trade

Indicate whether the statement is true or false

For an inferior good, the income effect

a. is zero b. at least partially offsets the substitution effect c. operates to increase the quantity demanded d. helps explain why the demand curve slopes upward e. does not exist