If Nominal National Income Increased by 20% Over a Certain

question 27

Multiple Choice

If nominal national income increased by 20% over a certain period of time while real national income increased by 10%,then

• A)everybody in the economy became worse off.
• B)inflation has decreased during this time period.
• C)the labour force increased by 10%.
• D)the price level has declined by about 10%.
• E)the price level has increased by approximately 10%.