If 1987 Is the Base Year,then Which Statement Could Be

question 140

Multiple Choice

If 1987 is the base year,then which statement could be made about the relationship between GDP and real GDP today?

• A)Real GDP is higher than GDP
• B)GDP is higher than real GDP
• C)GDP is equal to real GDP
• D)None of the choices are correct

---

Definitions:

Long-run Supply Function

A relationship showing the quantity of goods that will be supplied over a longer period when all inputs can be varied.

Rental Apartments

Housing units that are available for rent, typically within a larger building or complex, offering living accommodation to tenants.

Equilibrium Price

The price at which the quantity of a good or service supplied equals the quantity demanded, resulting in market balance.

Equilibrium

A state in a market or economy where supply equals demand, and there is no incentive for change under current conditions.