If Nominal GDP Increases from One Year to the Next

question 8

Multiple Choice

If nominal GDP increases from one year to the next, _____ must have risen.

• A)prices
• B)real GDP
• C)prices and real GDP
• D)output or prices or both

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Definitions:

Social Cognition

The study of how people process, store, and apply information about other people and social situations.

Personal Schema

An individual's belief system or cognitive framework that influences how they interpret and make sense of the world around them.

External Attributions

Ascribing the causes of behavior to situational demands and environmental constraints.

Extrinsic Factors

External elements or influences that motivate behavior, not inherent to the individual's internal desires.