If Real GDP Has Increased,which of the Following Statements Is

question 66

Multiple Choice

If real GDP has increased,which of the following statements is always true?

• A)Nominal GDP has increased.
• B)Output has increased.
• C)Prices have remained the same.
• D)Output might have decreased if prices have risen enough.

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Definitions:

Aggregate Demand

The total demand for all goods and services within a particular economy at a given overall price level and in a given time period.

Social Security

A government program that provides monetary assistance to people with an inadequate or no income.

Net Taxes

The difference between taxes paid to the government and transfers received from the government.

Equilibrium Quantity

The quantity of goods or services that is supplied and demanded at the equilibrium price, where market supply and demand balance each other.