Use the following figure to answer the questions : Figure 5.1 : 
According to the hypothetical economy in
-between 1960 and 1970 real GDP declined but nominal GDP continued to rise.The increase in nominal GDP was due to
A) An increase in the price level greater than the decrease in output,causing the nominal dollar value of output produced to increase.
B) An increase in the quantity of output produced.
C) A decrease in the price level.
D) An increase in the standard of living.
Correct Answer:
Verified
Q47: Inflation is
A)The increase in the market value
Q48: Use the following figure to answer the
Q49: Depreciation represents
A)The consumption of capital in the
Q51: Net domestic product (NDP)is determined by
A)Subtracting depreciation
Q53: The wearing out of plants and equipment
Q54: Assume nominal GDP is $10,000 billion in
Q54: Use the following figure to answer the
Q55: If real GDP falls from one period
Q56: If nominal GDP was $11,500 billion in
Q57: The purpose of chain-weighted price adjustments in
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