If Nominal GDP Is $18 Trillion and Real GDP Is

question 85

Multiple Choice

If nominal GDP is $18 trillion and real GDP is $3 trillion, the GDP deflator is

• A) 6.
• B) 21.
• C) 54.
• D) 600.

---

Definitions:

Payments

The transfer of money, or its equivalent, from one party to another as a fulfillment of an obligation or for the purchase of goods or services.

Yearly

Relating to or happening every year; annual.

Borrow

The act of receiving something with the intention of returning it or its equivalent to the owner at a later date.

Preferred Stock

Preferred stock is a type of equity that typically gives its holders preference over common stockholders in terms of dividends and claims on assets in the event of liquidation, but usually does not carry voting rights.