Question: if nominal GDP increases while real GDP declines in a given period , what does this say about economic growth and inflation ? explain briefly

if nominal GDP increases while real GDP declines in a given period , what does this say about economic growth and inflation ? explain briefly

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

When nominal GDP increases while real GDP declines it suggests that there has been inflation without ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Q:

1. In the classical model, it is thought that the long-run: A. and short-run aggregate supply curves are both upward sloping. B. aggregate supply curve is vertical and the short-run aggregate supply...

Q:

KYC's stock price can go up by 15 percent every year, or down by 10 percent. Both outcomes are equally likely. The risk free rate is 5 percent, and the current stock price of KYC is 100. (a) Price a...

Q:

At its meeting today, the Board decided to increase the cash rate target by 25?basis points to 4.10?per?cent. It also increased the interest rate paid on Exchange Settlement balances by 25?basis...

Q:

If nominal GDP increases while real GDP declines in a given period, what does this say about economic growth and inflation? Explain briefly.

Q:

1. If nominal GDP increases while real GDP declines in a given period, what does this say about economic growth and inflation? Explain briefly. 2. Given the following data about the economy,...

Q:

Excel File Edit View Insert Format Tools Data Window Help 55% Wed 7:35 pm Q DE Australian GDP Data (1) Q . Search Sheet "+ Share Home Insert Page Layout Formulas Data Review View _ AutoSum . Cut 14#1...

Q:

BEA111 Introduction to Markets and the Ecoromy Assignment 2 Questicn 1 - (Total: 35 Marks) The attached Excel file, GDP Data, provides the Australian Nominal and Real Quarterly GDP figures for Mar...

Q:

The civilian labor force consists of: all civilians over the age of 1 6 . the employed plus the unemployed who are not in the military. only individuals who are actually at work during a given week....

Q:

The Marketing Department uses the Mac OS X version 10.7 Lion computers. Because they plan to purchase new computers, what is the newest Mac operating system to which they can upgrade? What would be...

Q:

1. (a) Define Gross Domestic Product (GDP) and briefly explain what is included in its measurement and what is not. Distinguish between nominal GDP and real GDP in your answer. (b)Define economic...

Q:

Arrowhead School District No. 75 is located in Park County, south of Livingston, Montana, and consists of one school, Arrowhead School (School). For the 199798 school year, the School employed about...

Q:

Jay Lewis decided to start his own rent-a-car business after graduation. Lewis's Rent-a-Car had the following ending balances after the first month of operations (November 2019). Ending Balances...

Q:

Which of the following factors determine a dealer's success? Demand - supply equilibrium. The size of the spread. Selling collectibles. How slowly the dealer can "flip" the item.

Q:

Suppose that the manager of a restaurant has two new employees, Rahul and Henriette, and is trying to decide which one to assign to which task. Rahul can chop 20 pounds of vegetables or wash 100...

Q:

Paula and Carlo are coworkers. Their production possibilities frontiers for counseling clients and writing memos are given in Figure 2P-5. a. Which worker has an absolute advantage in counseling...

Q:

The graph in Figure 2P-1 shows Tanyas weekly production possibilities frontier for doing homework (writing papers and doing problem sets). a. What is the slope of the production possibilities...

Q:

In divisional income statements prepared for Iguana Construction Company, the Payroll Department costs are charged back to user divisions on the basis of the number of payroll checks, and the...

Q:

For each of the following service departments, select the activity base listed that is most appropriate for charging service expenses to responsible units. Service Department Activity Base a. Central...

Q:

Tolito Treats, Inc. Balance Sheets as of December 31, 2013 and 2014 2013 2014 Cash $34,000.00 $34,500.00 Accounts Receivable, Net $12,000.00 $17,000.00 Inventory $16,000.00 $14,000.00 Investments...

Q:

The following data show residential and commercial natural gas consumption (quadrillion Btu) from 1992 through 2007. a. Construct a graph of the time series, then superimpose a three-year centered...

Q:

In Exercise 17.12, suppose the researcher wishes to use one of the models in this section, but is uncertain as to whether y might be nonlinearly related to x1 and/or x2. Also, the researcher doesnt...

Q:

In a study by the United Dairy Industry Association, 42% of 655 persons age 3544 said they seldom or never ate cottage cheese. For 455 individuals age 4554, the corresponding percentage was 34%. At...

Q:

What would it mean for you or the other volunteer to have a comparative advantage at baking cookies or cupcakes? Could one of you have a comparative advantage at baking both items?

Q:

Your best friend has an idea for a long-distance car service to drive people across the country. Indicate the best explanation for why others have not taken advantage of her idea: true innovation,...

Q:

Suppose the price of a sweater is $15. Julias benefit from purchasing each additional sweater is given in the table below. Julia gets the most benefit from the first sweater and less benefit from...