The Chain-Weighted Output Index Method of Calculating Real GDP Compares

question 274

Multiple Choice

The chain-weighted output index method of calculating real GDP compares

• A) compares the quantities of goods produced in consecutive years using prices in both years and averaging the percentage changes in the value of output.
• B) quantities produced in different years using prices from a year chosen as a reference period.
• C) quantities produced in different years with the prices that prevailed during the year in which the output was produced.
• D) prices at different points in time using a sample of goods that is representative of goods purchased by households.