Assume an Economy Which Is Producing Only One Product

question 5

Multiple Choice

Assume an economy which is producing only one product.Output and price data for a three-year period are as follows.

-Refer to the above data.If year 2 is chosen for the base year,in year 3 nominal GDP and real GDP,respectively,are:

• A) $180 and $30.
• B) $30 and $5.
• C) $180 and $120.
• D) $120 and $100.