If Nominal GDP Rose in One Year from $2,000 Billion

question 36

Multiple Choice

If nominal GDP rose in one year from $2,000 billion to $2,400 billion at the same time that a price index rose from 200 to 220, then real GDP would

• A) have risen by approximately 20 percent.
• B) have fallen by approximately 10 percent.
• C) have risen by approximately 10 percent.
• D) have fallen by approximately 20 percent.
• E) not be determinable from the information provided.