If Real GDP Increased by 2% and Nominal GDP Increased

question 82

Multiple Choice

If real GDP increased by 2% and nominal GDP increased by 4%, then output:

• A)​increased and the price level increased.
• B)​increased and the price level decreased.
• C)​decreased and the price level increased.
• D)​decreased and the price level decreased.

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Definitions:

Placebo Effect

The situation where participants’ expectations, rather than the experimental treatment, produce an experimental outcome.

Vitamin Pill

A dietary supplement in pill form that contains vitamins, used to provide nutrients that may not be consumed in sufficient quantities.

Reinforcement Schedules

The pattern according to which rewards are given in operant conditioning, influencing how quickly and robustly a behavior is learned.

Aversive Conditioning

A form of behavioral training where a negative stimulus is associated with undesirable behavior to reduce or eliminate that behavior.