Real and Nominal GDP

question 60

Multiple Choice

Real and Nominal GDP Real and Nominal GDP -Based on the table Real and Nominal GDP, if year one is the base year,then the inflation rate in year three is ________. A) 14.6% B) 9.5% C) 9.9% D) 11.5% E) 16.5%
-Based on the table "Real and Nominal GDP," if year one is the base year,then the inflation rate in year three is ________.

Definitions:

Nonexcludable

A characteristic of a good or service whereby individuals cannot be effectively excluded from using it, often resulting in public goods.

Public Good

A product or service that is made available to all members of society, characterized by non-excludability and non-rivalry in consumption.

Free-Rider Problem

A situation where some individuals consume more than their fair share of a public resource, or do not pay for their share, leading to underproduction or depletion of the resource.

Drop-In-The-Bucket Problem

A problem intrinsic to public goods: The good or service is usually so costly that its provision generally does not depend on whether any single person pays.