Why would an economist use real GDP rather thannominal GDP to measure growth?Nominal GDP allows you to compareGDP from different yearsNominal GDP is a better measure of anation's standard of livingReal GDP is adjusted for inflation andreflects output/production moreaccuratelyReal GDP is calculated for a longerperiod of time than does nominal GDP

Economic growth refers to an increase in the overall production of final goods and services in an…

Answered: Why would an economist use real GDP…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

There are two economies. At the beginning of Year 1, their real GDPs are equal. Economy A grows at a constant rate of 4%, while Economy grows at a constant rate of 1%. Compute the ratio between the two economies real GDP after 10 years, 20 years and 30 years
Country A produces GDP according to the following equation: GDP = 5√K. The country has a savings rate of 27.6% and 8.8% of capital depreciates every year. What is this country's steady state amount of GDP? Round your final answer to two decimal places.
Suppose a country a real GDP of $159. What will the size of the GDP be after 14 years if the economy grows by 4.8% each year? Round your answer to two digits after the decimal without the dollar sign.
The real GDP in 2010 was $1,800 billion and $1,944 billion in 2011.What is the growth rate in real GDP measured in percentage change? Question 9Answer a. 6% b. 7% c. 5% d. 8%
Please answer correctly
The growth rate of real GDP in the United States rises from 4.2% to 4.4%. Explain and calculate how this increase in the growth rate of real GDP affects the number of years it will take for real GDP to double.
A nation's real GDP was $250 billion in Year 1 and $265 billion in Year 2. Its population was 120 million in Year 1 and 125 million in Year 2. What is its real GDP growth rate in Year 2? Multiple Choice 15.0 percent 6.0 percent 5.7 percent 1.1 percent
Suppose nominal GDP was $13,302.3 billion in 2007 and was $13,790.2 billion in 2009. If the GDP deflator for 2009 (with a base year of 2007) was 103.034, what is the growth rate of real output between 2007 and 2009? Show your calculations, otherwise you will lose a lot of points..
In 2015, the GDP of US was $2100. Suppose that US has a growth rate of 2.3%. a. What is US GDP after 8 years? b. What is US GDP after 12 years?
Suppose a country a real GDP of $175. What will the size of the GDP be after 13 years if the economy grows by 2.6% each year? Round your answer to two digits after the decimal without the dollar sign.
Explain the two sources for potential GDP growth in words and diagrams
Brazil’s real GDP was 1,520 trillion reais in 2011 and 1,585 trillion reais in 2012. Brazil’s population was 195 million in 2011 and 196.5 million in 2012. Calculate a. The growth rate of real GDP b. The growth rate of real GDP per person c. The approximate number of years it takes for real GDP per person to double when the real GDP growth rate and the population growth rate are maintained.

SEE MORE QUESTIONS

Recommended textbooks for you

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

Principles of Economics (MindTap Course List)

Economics

ISBN:

9781305585126

Author:

N. Gregory Mankiw

Publisher:

Cengage Learning

Managerial Economics: A Problem Solving Approach

Economics

ISBN:

9781337106665

Author:

Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:

Cengage Learning

Managerial Economics & Business Strategy (Mcgraw-…

Economics

ISBN:

9781259290619

Author:

Michael Baye, Jeff Prince

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS