For the Year 2005, Nominal GDP Is $10 Billion and Real

question 26

True/False

For the year 2005, nominal GDP is $10 billion and real GDP is $11 billion, so the GDP deflator is 110.

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Definitions:

Capital Deepening

An increase in the amount of capital per worker; one source of rising labor productivity.

Capital Per Worker

A ratio measuring the amount of capital available to each worker, often used as an indicator of labor productivity.

Developed Country

A nation with a high level of industrialization, a high standard of living, and a well-developed infrastructure.

Pakistan

A country in South Asia, bordered by India, Afghanistan, Iran, and China, with Islamabad as its capital.