If Prices Have Decreased Since the Base Period,then

question 61

Multiple Choice

If prices have decreased since the base period,then

• A)real GDP is smaller than nominal GDP.
• B)real GDP is larger than nominal GDP.
• C)real GDP is equal to nominal GDP.
• D)there is no way to adjust nominal GDP so that it equals real GDP.
• E)real GDP can no longer be compared to nominal GDP.

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Definitions:

Mandamus

A judicial writ issued as a command to an inferior court or ordering a person to perform a public or statutory duty.

Decision Maker

An individual or group responsible for making judgments and choices in a given situation.

Negotiation

The process by which two or more parties aim to reach a mutually acceptable agreement.

Negotiator

A person skilled in discussion with the aim of reaching an agreement or compromise on behalf of a party in a dispute or negotiation.