Answer:
The value of nominal GDP in years 1 and 2 respectively is:
Explanation:
real GDP is based on the prices of a base year and it is affected by the total output of goods and services, not the nominal value of the goods and services.
real GDP year 1 = ($3 x 100 balls) + ($8 x 75 pizzas) = $900
real GDP year 2 = ($3 x 110 balls) + ($8 x 80 pizzas) = $970
nominal GDP year 1 = ($3 x 100 balls) + ($8 x 75 pizzas) = $900
nominal GDP year 2 = ($3.25 x 110 balls) + ($9 x 80 pizzas) = $1,077.50
Answer:
a.none of these answers are correct
Answer:
Reduction in consumer confidence will decrease consumption demand, which will decrease output. IS curve... view the full answer
Explanation:
Reduction in consumer confidence will decrease consumption demand, which will decrease output.
