The Chain-Weighted Output Index

question 201

Multiple Choice

The chain-weighted output index

• A) uses only the current year's prices to calculate growth in real GDP.
• B) uses prices for the current year and the previous year to calculate growth in real GDP.
• C) must be calculated only every other year.
• D) is an inaccurate way to measure growth in real GDP and so has been replaced by the "nominal-to-real" index.

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Definitions:

New Technologies

Recent advancements or innovations in technology that can potentially alter how businesses operate or how consumers interact with products.

Existing Markets

The current and operational markets where products or services are already being distributed or consumed.

High Barriers to Entry

Conditions that make it difficult for new competitors to enter a market, including high costs, strict regulations, or established brands.

Low Power of Suppliers

A business situation where suppliers have little control over the pricing and terms of products being supplied, enhancing the bargaining power of the purchasing company.