Assume nominal GDP is $10,000 billion in period 1 and $15,000 billion in period 2.If prices in period 2 are twice as high as in period 1,real GDP in period 2 is
A) $10,000 measured in period 1 prices.
B) $12,500 measured in period 1 prices.
C) $15,000 measured in period 1 prices.
D) $7,500 measured in period 1 prices.
Correct Answer:
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Q43: Depreciation represents
A)The consumption of capital in the
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A)Subtracting depreciation
