GDP can increase at a faster rate than real GDP:
a. only if there is a decline in the price level. b. only if the unemployment rate is increasing. c. only if the value of the dollar is stable. d. only if the population is growing. e. only if there is inflation.
If our output of goods and services rises, then:
a. real GDP definitely rose. b. real GDP definitely fell. c. GDP definitely rose. d. GDP definitely stayed the same.
Assume that from 2007 to 2009 the U.S. economy experiences inflation. Also, assume that GDP remains constant from 2007 to 2009. Therefore:
a. real GDP rises. b. real GDP falls. c. there is no change in real GDP. d. no conclusion can be reached as to whether real GDP rises, falls, or remains the same.
Which of the following statements is true?
a. GDP is greater than national income, which is greater than NDP. b. Government spending is the largest sector of GDP. c. A Social Security check sent to a retiree is counted as part of GDP. d. The purchase of a new factory is counted in the investment sector of GDP.
The GDP is the value of all final goods and services produced:
a. within the nations boundaries. b. by domestically owned companies. c. by citizens of the country. d. by domestically controlled companies.
National Income is about _____ percent of GDP.
a. 25 b. 45 c. 65 d. 85 e. 100
GDP can increase at a faster rate than real GDP:
| a. only if there is a decline in the price level. | |||||||||||||||||||||
| b. only if the unemployment rate is increasing. | |||||||||||||||||||||
| c. only if the value of the dollar is stable. | |||||||||||||||||||||
| d. only if the population is growing. | |||||||||||||||||||||
| e. only if there is inflation. If our output of goods and services rises, then:
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Related textbook solutions
Related questions
1. The multiplier helps explain
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A. why a decrease in taxes causes real Gross Domestic Product (GDP) to fall by more than the amount of the decrease in taxes. |
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B. why a fall in investment cause real Gross Domestic Product (GDP) to rise by more than the amount of the decrease in investment. |
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C. why a rise in government expenditures causes real Gross Domestic Product (GDP) to rise by more than the amount of the increase in government spending. |
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D. why an increase in disposable income causes real Gross Domestic Product (GDP) to rise by less than the amount of the increase in disposable income. Ā 2. If the marginal propensity to save (MPS) increases, the multiplier
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