The GDP price index
A) can be interpreted as 100 multiplied by real GDP divided by nominal GDP.
B) is the difference between nominal GDP and real GDP.
C) measures the average price level.
D) can be interpreted as real GDP minus nominal GDP and the resulting difference then multiplied by 100.
E) is equal to between real GDP minus nominal GDP.
C
You might also like to view...
Mars Inc produces 100,000 boxes of Snickers bars which sell for $4 a box. If variable costs are $3 per box, and it has $150,000 fixed operating costs, in the short run, it should
A) shut down as fixed costs are not being covered. B) keep producing as profits are $50,000. C) keep producing as variable costs are being met. D) keep producing as total costs are being recovered.
When the Fed lowered short-term interest rates to near zero but the policy didn't seem to stimulate the economy enough, the Fed in 2009 also began conducting the policy of expansive buying of bonds now known as:
A. ZIRP (zero interest rate policy) B. QE (quantitative easing) C. Operation Twist D. Zero Lower Bound