Real GDP Will Increase

question 81

Multiple Choice

Real GDP will increase

• A)only if the price level rises.
• B)only if the price level falls.
• C)only if the quantity of final goods and services produced rises.
• D)if either the price level rises or the quantity of final goods and services produced rises.

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Definitions:

Pay Off

To completely settle a debt or an obligation.

Compounded Quarterly

A method of calculating interest where the interest is added to the principal balance four times a year.

Extinguish

To put an end to something, such as a debt or obligation, by payment or other settlement.

Payment

The act of transferring money or other valuable items in exchange for goods, services, or to fulfill a contractual obligation.