Suppose Total Output (Real GDP) Is $4,000 and Labor Productivity

question 272

Multiple Choice

Suppose total output (real GDP) is $4,000 and labor productivity is $8. We can conclude that

• A) real GDP per capita must be $500.
• B) the price-level index must be greater than 100.
• C) nominal GDP must be $500.
• D) the number of worker-hours must be 500.

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Definitions:

Market Segments

Subsets of a market made up of people or organizations with one or more characteristics that cause them to demand similar products.

Product Prices

The amount of money required to purchase a product, which can be influenced by factors like cost, demand, and competition.

Broad Array

A wide and diverse range of items or elements, often used to describe a comprehensive selection of products, services, or choices.

Differentiation Focus Strategy

A competitive approach where a business targets a specific segment of the market and offers unique features that appeal to that niche.