If Real GDP Is Higher in One Country Than in Another

question 172

True/False

If real GDP is higher in one country than in another, then we can be sure that the standard of living is higher in the country with the higher real GDP.

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Definitions:

US Dollar

The official currency of the United States, widely used as a standard unit of currency in international finance and trade.

Recession

A significant decline in economic activity spread across the economy, lasting more than a few months.

Exchange Rate

The worth of one currency when converting it into another currency.

Widget Costs

The expenses associated with the production or manufacture of a generic product, often used in economic examples or analyses.