We are told that over the past year actual real GDP has risen by three percent.This fact alone is enough to tell us that
A)the unemployment rate has fallen.
B)the inflation rate has risen.
C)the actual real GDP is above natural real GDP.
D)productivity has grown.
E)none of the above.

Question

Quizplus · Accepted Answer

The information given only tells us that real GDP has increased by three percent over the past year. This does not necessarily imply anything about the unemployment rate, inflation rate, the relationship between actual and natural real GDP, or productivity growth without additional context or data.

We Are Told That Over the Past Year Actual Real