Real GDP Is GDP in a Given Year

question 144

Multiple Choice

Real GDP is GDP in a given year

• A)adjusted only for anticipated inflation.
• B)adjusted only for unanticipated inflation.
• C)valued in the prices of that year.
• D)valued in the prices of the base year.

---

Definitions:

Recession

A phase of short-term economic downturn characterized by decreased trading and industrial output, generally recognized by a drop in Gross Domestic Product across two consecutive quarters.

National Debt

The aggregate financial obligations incurred by a government of a country through borrowing.

Tax Revenue

The income gained by the government through taxation, which is then used to fund public services and governmental functions.

Budget

An estimate of income and expenditure for a set period of time.