The Reference Base Year Is 2013

question 85

Multiple Choice

The reference base year is 2013. To calculate the chained-dollar real GDP in 2012 we calculate

• A)the value of the final goods and services produced in 2014 valued at the prices that prevailed in 2014.
• B)the value of the final goods and services produced in 2014 valued at the prices that prevailed in the base year.
• C)nominal GDP in 2014 multiplied by price level.
• D)the value of final goods and services produced in the base year valued at the 2014 prices.
• E)the base-year GDP and add the average of the increases in real GDP calculated using 2013 prices and 2014 prices.

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Definitions:

Confidence Level

A measure of certainty in statistical analysis that a parameter lies within a specific range of values.

Flashbulb Memory

Highly detailed, exceptionally vivid 'snapshot' of the moment and circumstances in which a piece of surprising and consequential news was heard.

Accuracy Trust

The degree of confidence in the accuracy of a source or information.

Retroactive Interference

A phenomenon in which subsequently learned material lowers the probability of recalling earlier learned material.