A Country Reported a Nominal GDP of $85 Billion in 2005

question 88

Multiple Choice

A country reported a nominal GDP of $85 billion in 2005 and $100 billion in 2004;it reported a GDP deflator of 100 in 2005 and 105 in 2004.Between 2004 and 2005,

• A)real output and the price level both rose.
• B)real output rose and the price level fell.
• C)real output fell and the price level rose.
• D)real output and the price level both fell.

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Definitions:

Ethnocentric

A viewpoint that one's own ethnic group or culture is superior to others, often leading to judgment of other cultures based solely on the values and standards of one's own culture.

International Operations

Business activities that a company conducts outside its home country, involving global management of production, logistics, marketing, and human resources.

Polychronic

Describes a cultural approach to time management that values multitasking and the handling of multiple activities simultaneously.

Polycentric

An approach in international business, where a company adapts its strategies and decisions to the local conditions of the countries where it operates.