real value will increase only when prices increase. Select one: True False If the real value for manufacturing sales increases then the nominal value must also have increased. Select one: True False If nominal GDP is rising faster than real GDP then prices must be rising. Select one: True

Q: The following data are the seasonally adjusted percent changes from the preceding month for the…

A: Core CPI helps to measure inflation in an economy by taking into consideration the inflation of all…

Q: Following a real GDP - trough; increases trough; decreases peak; increases Otrough; decreases for…

A: Answer: Trough: it refers to the lowest point of declining business activities. After the trough,…

Q: Hi, can someone help me. I'm not understanding what it's asking me to do.

A:

Q: If real GDP in a year was $4,220 billion and the price Index was 112, then nominal GDP In that year…

A: Given: Real GDP=$4220 billion Price Index=112 To find: Nominal GDP

Q: traditional method

A: GDP: It refers to the goods and services produced in a year in the economy, which helps predict the…

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Q: Price level (GDP deflator, 2009 = 100) 31.4 28.7 1975 LRAS1974 1974 LRAS1975 SRAC1975 SRAS1974 5.38…

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Q: If x is useful for predicting future GDP then a. x is countercyclical. b. x is coincident. c. x…

A: The gross domestic product(GDP) is defined as the market value of all the final commodities(goods…

Q: An economy has nominal GDP of $16,768 billion in year 1 and $17,419 billion in year 2. If real GDP…

A: Gross domestic product (GDP) is the summation of the value of commodities manufactured in the…

Q: When Full employment GDP is less than equilibrium GDP, the economy faces A) Recession B) Inflation…

A: Full employment refers to the economic situation where all the labor resources in the economy are…

Q: Assume that nominal income increases by 5% and the price level increases by 3%, which of the…

A: Nominal income does not take into account inflation.

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Q: Calculate the rate of inflation when the Consumer Price Index went from 200 to 208.  Of the 200…

A: “Since you have posted a question with multiple sub parts, we will provide the solution only to the…

Q: If the economy depicted in the graph is a self-regulating economy: Price Level LRASI (P) PE SRAS * K…

A: Step 1:The given graph shows a low level of real GDP (QE​) than GDP (QN​). This will result in…

Q: Calculate inflation in 2019 and 2020.

A: When we use 2018 as a base year: Real GDP for 2018 = 8*1000 = $8000 Real GDP for 2019 = 8*1500 =…

Q: If the GDP deflator increases, we say that we had   Group of answer choices a) recession. b) none of…

A: In an economy z GDP deflator is used to compare nominal GDP and real GDP or to show the ratio of…

Q: The measure that summarizes the aggregate price level is: O a price index. a consumption bundle. the…

A: Answer: (a)

Q: Please explain the relationships between interest rates, expected rates of return, investment, and…

A: The interest rate is the amount of interest charged by the lender on the borrower. Those who takes…

Q: Assume that you are told a country’s nominal GDP decreased from one year to the next.  All of the…

A: Gross domestic product (GDP) that hasn't been adjusted for inflation is referred to as nominal GDP.…

Q: What happens to disposable personal income if tax rates increased? How could nominal GDP increase…

A: Since you have posted a question with multiple sub-parts, we will solve the first three subparts for…

Q: Which statement best describes the difference between Nominal and Real GDP? Group of answer choices…

A: Nominal GDP measures the value of goods and services at current market prices. Real GDP measures the…

Q: he real wage rate measures:     the ability to purchase necessities vs. luxury goods     the…

A: Real wage refers to the wage rate which is adjusted for inflation. or Real wage is equal to the…

Q: A decrease in real GDP at the same time that nominal GDP increases would be consistent with: None…

A: Nominal GDP= Current year quantity × Current year price.  Real GDP = Current year quantity × Base…

Q: If your nominal income in 2016 was $50,000, and prices doubled between 2016 and 2017, to have the…

A: Nominal income refers the income which is not adjusted to inflation. Real income is income which is…

Q: Suppose from one year to the next, the GDP deflator increased by 3% and nominal GDP increased by 1%.…

A: GDP Deflator helps to change in prices of all goods produced; only includes goods produced…

Q: Nominal GDP measures the value of all goods and services   Group of answer choices without…

A: GDP is the value of final goods and services produced in the economy within a given period of time.

Q: If the price level has been falling over time (i.e. deflation), and Nominal GDP has been increasing,…

A: GDP is the value of final goods and services produced in the economy within a given period of time.

Q: If nominal GDP increases by 2 percent and the price level goes up by 3 percent next year, calculate…

A: It is given that Nominal GDP (in Millions) in this year = $1000 Price level = 100 Real GDP (in…

Q: Question 18   You borrow money for a new car at a rate of 5%; inflation is at 4%. From this…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: If nominal GDP rose, does that mean that production had to increase as well? Why or why not? An…

A: Gross domestic product(GDP) measures the money value of all final goods and services produced in an…

Q: An increase in the nominal GDP by 5% can correspond to   a A decrease of real GDP by 5% and an…

A: The gross domestic product of an economy is defined as the market value of all the final…

Q: Nominal GDP increased from roughly $15 trillion in 2010 to $21 trillion in 2020. In the same period,…

A: Nominal GDP and real GDP are two important measures used to assess the economic performance of a…