Suppose the price level is unchanged and real GDP decreases. Then

A) nominal GDP must decrease.
B) nominal GDP must remain unchanged.
C) nominal GDP must increase.
D) none of the above are true.

A

Economics

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Using productive resources to make capital goods requires that we

A) get everyone to agree on the best use of those resources. B) get government approval of our plan to make capital goods. C) forgo some level of current consumption. D) prove that the existence of the capital goods will not cause any environmental damage.

Economics

When an economy is at its natural rate of unemployment, which of the following will be true?

A) The unemployment rate will be 0%. B) The labor force participation rate will be 100%. C) The unemployment rate will be greater than 0%. D) Only structural unemployment as a result of technological change will exist in the economy.

Economics