The Major Difference Between Nominal GDP and Real GDP Is

question 205

Multiple Choice

The major difference between nominal GDP and real GDP is that

• A)real GDP is the absolute value of goods and services and nominal GDP is a relative value.
• B)real GDP refers to products made in the United States and nominal GDP refers to both exports and imports.
• C)nominal GDP is the market value and real GDP has been adjusted for inflation.
• D)real GDP is a relative value and nominal GDP is an absolute value.

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Definitions:

Foreign Investment

Investment by individuals or companies in assets or businesses located in another country.

Duty Drawbacks

Duty drawbacks are refunds of customs duties paid on imported materials that are later exported, either in the same or a modified form, encouraging international trade.

Foreign Corrupt Practices Act

A United States federal law that aims to prevent the bribery of foreign officials for business purposes and ensure accounting transparency.

Bribery Charges

Legal accusations against individuals or entities for offering, giving, receiving, or soliciting something of value to influence actions or decisions of officials or representatives.