During 1981-82, the drop in inflation was ________ than the drop in nominal GDP growth, resulting in a ________ real GDP.
A) less, slowly growing
B) less, shrinking
C) more, slowly growing
D) more, shrinking

Question

Quizplus · Accepted Answer

The question states that the drop in inflation was "less than" the drop in nominal GDP growth, which means that real GDP growth would also be negative. Therefore, the answer is B - less inflation and a greater drop in nominal GDP growth would result in a shrinking real GDP.

During 1981-82, the Drop in Inflation Was ________ Than the Drop