The Reporter on One Broadcast Network Says 2011 GDP Increased

question 75

Multiple Choice

The reporter on one broadcast network says 2011 GDP increased to an all-time high. Commenting on the same figure, a second reporter says GDP in 2011 was less than in 2010. Which of the following explanations is consistent with the statements of both reporters?

• A) The first reporter was referring to real GDP, and the second was referring to nominal GDP.
• B) The first reporter was referring to nominal GDP, and the second was referring to real GDP.
• C) The first reporter was referring to GDP as measured by the expenditure approach, and the second was referring to GDP as measured by the income cost approach.
• D) The first reporter was referring to GDP as measured by the income cost approach, and the second was referring to GDP as measured by the expenditure approach.

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Definitions:

P-to-O Expectancy

The belief that putting effort into a task will lead to achieving a desirable outcome.

Relative Status

Pertains to the position or ranking of an individual or group in relation to others within a social or organizational context, influencing dynamics and interactions.

Four-drive Theory

A motivational theory suggesting humans are driven by four basic needs: acquire, bond, comprehend, and defend, that influence behavior and decision making.

Hard-Wired

Something that is innately set or programmed in a way that is difficult to change.