Refer to the Above Diagram

question 75

Multiple Choice

Refer to the above diagram.Which of the following statements is correct?

• A)The price index is greater than 100 for every year shown on the graph.
• B)Nominal GDP must be deflated in each year prior to 1992 to determine real GDP.
• C)Real GDP has grown in this economy, but nominal GDP has not.
• D)Nominal GDP must be deflated in each year since 1992 to determine real GDP.

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Definitions:

Social Allergy Effect

The idea that a partner’s annoying habits become more annoying over time.

Demographics

Pertains to statistical data relating to the population and particular groups within it, including factors like age, gender, income, and education.

Matching Hypothesis

The proposition that people tend to pair up with others who are equally attractive.

Attractiveness

The quality of being appealing or pleasing in appearance, which can evoke interest, desire, or preference in others.