Which of the Following Is Used to Calculate the Standard

question 229

Multiple Choice

Which of the following is used to calculate the standard of living?

• A) real GDP/population
• B) ((real GDP in the current year - real GDP in previous year)/real GDP in previous year) × 100
• C) the one-third rule
• D) real GDP/aggregate hours

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Definitions:

Discretionary Influence

The ability to make decisions or take actions based on personal judgment rather than fixed rules.

Public Borrowing

The process by which a government finances its expenditure by raising loans through the issuance of securities or borrowing from financial institutions.

Federal Deficit

The fiscal year difference when the U.S. Government's expenditures exceed its revenues, necessitating borrowing to cover the gap.

Real GDP

The measure of a country's economic output adjusted for inflation, reflecting the true value of goods and services produced.