Which Is More Useful for Measuring Change in the Economy

question 107

Essay

Which is more useful for measuring change in the economy over time, nominal GDP or real GDP?
Why?

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Definitions:

Depth Perception

The ability to perceive objects three dimensionally.

Monocular Cues

Powerful depth cues available from the image in one eye, either the right or the left.

Binocular Cues

Depth cues that depend on the combination of the images in the left and right eyes and on the way the two eyes work together.

Gestalt Principle

A theory that proposes humans naturally perceive objects as organized patterns and wholes, rather than as separate components.