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Suppose You Paid $2

Question 7

Multiple Choice

Suppose you paid $2.50 for a beer in 2004 and $3 exactly a year later.The price in 2004 is measured in _______ dollars; the price in 2005 is measured in _________ dollars.


A) real; real
B) nominal; real
C) real; nominal
D) nominal; nominal

Correct Answer:

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