Table 23-3
the Following Table Reports Nominal and Real GDP

question 37

Multiple Choice

Table 23-3
The following table reports nominal and real GDP for the U.S. from 1929 to 1932.
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$$\begin{array} { | c | c | c | } \hline \text { Year } & \begin{array} { c } \text { Nominal GDP } \\\text { (Billions of dollars) }\end{array} & \begin{array} { c } \text { Real GDP } \\\text { (Billions of dollars) }\end{array} \\\hline 1929 & 103.6 & 977 \\\hline 1930 & 91.2 & 892.8 \\\hline 1931 & 76.5 & 834.9 \\\hline 1932 & 58.7 & 725.8 \\\hline\end{array}$$
-Refer to Table 23-3. What was the growth rate of real GDP for 1930?

• A)?8.62%.Real GDP is a better gauge of economic well-being than nominal GDP.
• B)?8.62%.Nominal GDP is a better gauge of economic well-being than real GDP.
• C)?9.43%.Real GDP is a better gauge of economic well-being than nominal GDP.
• D)?9.43%.Nominal GDP is a better gauge of economic well-being than real GDP.

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Definitions:

Expectancy Theory

A theory that proposes an individual's motivation is related to their expectation of a desired outcome and the attractiveness of that outcome.

First-Level Outcomes

Immediate results or effects of an action or intervention that can lead to longer-term impacts or second-level outcomes, often used in evaluation frameworks.

Expectancy Theory

A motivational theory suggesting that individuals are motivated to act in certain ways based on their expectations that their actions will lead to desired outcomes.

Valence

The expected value of work outcomes; the extent to which they are attractive or unattractive.