Nominal GDP Is Given by __________ Where the Price Level $\times$

question 73

Multiple Choice

Nominal GDP is given by __________ where the price level is the __________.

• A)Nominal GDP = Price level \(\times\) Real GDP;GDP deflator
• B)Nominal GDP = Price level ÷ Real GDP;GDP deflator
• C)Nominal GDP = Price level + Real GDP;CPI
• D)Nominal GDP = Price level - Real GDP;GDP deflator
• E)Nominal GDP = Price level \(\times\) Real GDP;CPI

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Definitions:

Market Economy

An economic system in which economic decisions and the pricing of goods and services are guided solely by the interactions of citizens and businesses.

Equilibrium Quantity

At the market equilibrium price, the amount of goods or services that are supplied matches the amount that is demanded.

Equilibrium Price

A pricing point in the market where the supply of goods meets the demand for those goods.

Equilibrium Quantity

The quantity of goods or services that is supplied and demanded at the equilibrium price, where supply equals demand in a market.