Real GDP is calculated because
a. it is a much better measure of economic behavior than nominal GDP
b. the value of the dollar is increasing
c. it allows us to make comparisons between countries
d. nominal GDP has no theoretical foundation
e. nominal GDP is corrected for inflation
A
Economics
You might also like to view...
In the short run, if aggregate demand shifts to the left while the position of the short-run aggregate supply curve does NOT change, then
A) the level of economic activity rises. B) a recessionary gap occurs. C) there is no change in real GDP and the price level. D) an inflationary gap occurs.
Economics
The size of the spending multiplier depends on the level of real GDP
a. True b. False Indicate whether the statement is true or false
Economics