If Nominal GDP Is $8 Trillion and Real GDP Is

question 21

Multiple Choice

If nominal GDP is $8 trillion and real GDP is $10 trillion,then the GDP deflator is

• A)80,and this indicates that the price level has decreased by 20 percent since the base year.
• B)80,and this indicates that the price level has increased by 80 percent since the base year.
• C)125,and this indicates that the price level has increased by 25 percent since the base year.
• D)125,and this indicates that the price level has increased by 125 percent since the base year.

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Definitions:

Shared Leadership

A dynamic, interactive influence process through which individuals in teams lead one another.

Influence Process

The methods or techniques used to affect the behavior or attitudes of individuals or groups.

Social Exchange

Means that people build human relationships and trust through exchanges of favors based on reciprocity.

Firm Reliance

A strong dependency or trust in something or someone, often in the context of business or personal relations.