1. Suppose nominal GDP rose from $500 billion to $600 billion while theprice index increased from 125 to 150. Real GDPremained constant.increased.c)decreased.8. If both nominal GDP and the price index are rising, is evident thata)b)c)d)real GDP is constant.real GDP is rising.real GDP is declining.no conclusion can be drawn about real GDP.UShp

answer-(d) No conclusion can be drawn about real GDP

Answered: 8. If both nominal GDP and the price…

8. If both nominal GDP and the price index are rising, is evident that a) b) c) d) real GDP is constant. real GDP is rising. real GDP is declining. no conclusion can be drawn about real GDP.

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter24: The Aggregate Demand/aggregate Supply Model

Section: Chapter Questions

Problem 13SCQ: Suppose the Federal Reserve begins to Increase the supply of money at an Increasing rate. What...

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Question

1. Suppose nominal GDP rose from $500 billion to $600 billion while the
price index increased from 125 to 150. Real GDP
remained constant.
increased.
c)
decreased.
8. If both nominal GDP and the price index are rising, is evident that
a)
b)
c)
d)
real GDP is constant.
real GDP is rising.
real GDP is declining.
no conclusion can be drawn about real GDP.
US
hp

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