The GDP Deflator Measures the Overall Change in Prices in an Economy

question 22

Multiple Choice

The GDP deflator measures the overall change in prices in an economy:

• A) by calculating the ratio of nominal to real GDP.
• B) based on goods and services valued at constant prices.
• C) based on price-changes determined when output is held constant.
• D) by calculating the ratio of real to nominal GDP.

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Definitions:

Biochemical Units

Fundamental structures and molecules involved in the biochemical processes of living organisms, such as enzymes and nucleotides.

Heredity

The transmission of genetic characteristics from parents to offspring, influencing various physical and sometimes behavioral traits.

Chromosomes

Thread-like structures located inside the nucleus of animal and plant cells, made of protein and a single molecule of DNA, which carries genetic information.

Genes

Segments of DNA located in chromosomes, responsible for the genetic traits passed from parents to offspring.