Table 12-16
$$\begin{array} { | l | r | r | }
\hline & \mathbf { 2 0 1 2 } & { \mathbf { 2 0 1 3 } } \
\hline \text { Nominal GDP } & \$ 10,000 & \$ 12,000 \
\hline \text { Real GDP } & 9,500 & 10,500 \
\hline
\end{array}$$
-Refer to Table 12-16.Given the information above,what can we say has happened in the economy from 2012 to 2013?

Question

Table 12-16
 $$\begin{array} { | l | r | r | } 
\hline & \mathbf { 2 0 1 2 } & { \mathbf { 2 0 1 3 } } \
\hline \text { Nominal GDP } & \$ 10,000 & \$ 12,000 \
\hline \text { Real GDP } & 9,500 & 10,500 \
\hline
\end{array}$$
-Refer to Table 12-16.Given the information above,what can we say has happened in the economy from 2012 to 2013?

Quizplus · Accepted Answer

Real GDP has increased from 9,500 to 10,500, indicating that there has been an increase in output. However, nominal GDP has increased from $10,000 to $12,000, indicating that prices have also increased. Therefore, we can conclude that the price level has risen.

Table 12-16 -Refer to Table 12-16