If the GDP Deflator Is Less Than 100, Then

question 271

Multiple Choice

If the GDP deflator is less than 100, then

• A) nominal GDP is greater than real GDP.
• B) nominal GDP is lower than real GDP.
• C) nominal GDP equals real GDP.
• D) prices decreased by more than half between the current and the base years.

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Definitions:

Cyanohydrins

Organic compounds containing both a hydroxyl and a nitrile group, typically formed from aldehydes or ketones and hydrogen cyanide.

Cyclohexanone

An organic compound characterized by a six-membered cyclic structure containing one ketone group, used as a solvent and in the synthesis of various chemicals.

Cation

A positively charged ion that is created when an atom loses one or more electrons, resulting in more protons than electrons.

Propensity

A natural inclination or tendency to behave in a particular way.