If Nominal GDP Is $1 Trillion and Real GDP Is

question 63

Multiple Choice

If nominal GDP is $1 trillion and real GDP is $0.9 trillion,what is the GDP deflator?

• A) 0.9
• B) 1.43
• C) 90
• D) 143

Understand how markets allocate resources effectively.

Comprehend the interaction between demand and supply curves and their shifts.

Identify the role of substitutes and complementary goods in affecting demand.

Understand the impact of income on demand for normal and inferior goods.

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Definitions:

Market Price

The current price at which an asset or service can be bought or sold in the market.

Marginal Cost

The increase in total production costs resulting from the production of one additional unit of a product or service.

Downstream Division

Part of a company involved in the final processing, distribution, or selling of a product.

Intermediate Good

A product used in the manufacturing process to produce a final good or finished product, not sold directly to consumers.