Nominal GDP will increase
A)only if the price level rises.
B)only if the price level falls.
C)only if the quantity of final goods and services produced rises.
D)if either the price level or the quantity of goods and services produced rises.

Question

Quizplus · Accepted Answer

Nominal GDP is calculated by multiplying the quantity of goods and services produced by their current market prices. Therefore, an increase in either the price level or the quantity of goods and services will increase nominal GDP.

Nominal GDP Will Increase