Suppose That Nominal GDP in Year 1 Is 200 and Nominal

question 44

Multiple Choice

Suppose that nominal GDP in year 1 is 200 and nominal GDP in year 2 is 242. Assume that inflation is ten percent per year. How fast did the economy grow between these two years?

• A) 10 percent
• B) 12 percent
• C) 21 percent
• D) 42 percent

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Definitions:

Develop New Skills

The process of acquiring new abilities, competencies, or expertise through learning or training in order to enhance personal or professional development.

Second-Level Outcome

Results or effects that follow the immediate consequences of an action, often reflecting a deeper impact or longer-term results.

Expectancy Theory

A theory suggesting that an individual's motivation is influenced by their expected outcomes of certain behaviors and the value they place on those outcomes.

Promotion

Promotion refers to advancing someone to a higher position or rank within an organization, often accompanied by increased responsibilities and benefits.