Question

In: Economics

Significant problems with measuring real GDP and the price level include a) changes in standards of...

Significant problems with measuring real GDP and the price level include

a)

changes in standards of living.

b)

changes in the number of consumers.

c)

changes in relative price levels.

d)

purchases of used goods.

Solutions

Expert Solution

Answer option)changes in standards of living.

Significant problems with measuring real GDP and the price level include changes in standards of living.

Because it does not measure happiness

Rahul Sunny answered 2 years ago
Next > < Previous

Related Solutions

(A) (B) (C) Price Level Real GDP Price Level Real GDP Price Level Real GDP 110...
(A) (B) (C) Price Level Real GDP Price Level Real GDP Price Level Real GDP 110 290 100 215 110 240 100 265 100 240 100 240 95 240 100 265 95 240 90 215 100 290 90 240 a. Which set of data illustrates aggregate supply in the immediate short-run in North Vaudeville?      The data in (Click to select)CAB.      Which set of data illustrates aggregate supply in the short run in North Vaudeville?      The data in...
Consider the following table for the U.S. Year Potential Real GDP Real GDP Price Level Federal...
Consider the following table for the U.S. Year Potential Real GDP Real GDP Price Level Federal Funds Rate 2006 $15.3 trillion $15.3 trillion 90.1 5.0% 2007 $15.6 trillion $15.6 trillion 92.5 5.0% 2008 $15.9 trillion $15.6 trillion 94.3 1.9% 2009 $16.1 trillion $15.2 trillion 95.0 0.2% 2010 $16.3 trillion $15.6 trillion 96.1 0.2% 2011 $16.5 trillion $15.8 trillion 98.1 0.1% 2012 $16.7 trillion $16.2 trillion 100.0 0.1% 2013 $17.0 trillion $16.5 trillion 101.6 0.1% 2014 $17.3 trillion $16.9 trillion 103.6...
The price level will increase while real GDP decreases when:
The price level will increase while real GDP decreases when: aggregate demand decreases/shifts to the left short-run aggregate supply decreases/shifts to the left short-run aggregate supply increases/shifts to the right aggregate demand increases/shifts to the right
what will happen to price level and Real GDP in the long run if the money...
what will happen to price level and Real GDP in the long run if the money supply increases?
Velocity. a) The money supply is $600. The price level is 2 and Real GDP is...
Velocity. a) The money supply is $600. The price level is 2 and Real GDP is 900. What is velocity? b) The money supply grows 3%, velocity is growing 1%, real output is growing 2%. What is the inflation rate? Suppose that people are worried that future inflation will be very high, so that people don’t want to hold onto money since it will lose value, which makes velocity grow at a rate of 10%. If the money supply continues...
Velocity.    a) The money supply is $600. The price level is 2 and Real GDP is...
Velocity.    a) The money supply is $600. The price level is 2 and Real GDP is 900. What is velocity?   b) The money supply grows 3%, velocity is growing 1%, real output is growing 2%. What is the inflation rate? Suppose that people are worried that future inflation will be very high, so that people don’t want to hold onto money since it will lose value, which makes velocity grow at a rate of 10%. If the money supply continues...
Explain with illustrations the impact of demand shocks on the real GDP and the price level?
Explain with illustrations the impact of demand shocks on the real GDP and the price level?
Year Potential Real GDP Real GDP Price Level Federal Funds Rate 2006 $15.3 trillion $15.3 trillion...
Year Potential Real GDP Real GDP Price Level Federal Funds Rate 2006 $15.3 trillion $15.3 trillion 90.1 5.0% 2007 $15.6 trillion $15.6 trillion 92.5 5.0% 2008 $15.9 trillion $15.6 trillion 94.3 1.9% 2009 $16.1 trillion $15.2 trillion 95.0 0.2% 2010 $16.3 trillion $15.6 trillion 96.1 0.2% 2011 $16.5 trillion $15.8 trillion 98.1 0.1% 2012 $16.7 trillion $16.2 trillion 100.0 0.1% 2013 $17.0 trillion $16.5 trillion 101.6 0.1% 2014 $17.3 trillion $16.9 trillion 103.6 0.1% 2015 $17.6 trillion $17.4 trillion 104.7...
Which of the following would make the price level increase and real GDP decrease?
Which of the following would make the price level increase and real GDP decrease?  a. aggregate demand shifts right. b. long-run aggregate supply shifts right  c. aggregate demand shifts left d. long-run aggregate supply shifts left
What determines the equilibrium price level and real GDP? In the short run, a shift in...
What determines the equilibrium price level and real GDP? In the short run, a shift in aggregate demand establishes a new, but temporary, equilibrium along the short-run aggregate supply curve. TRUE or FALSE? Please Explain your Answer. In the long run, the short-run aggregate supply curves shifts so that changes in aggregate demand determine the price level but not the equilibrium level of output or real GDP. TRUE or FALSE? Please explain your answer. Propose three functions of the Federal...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT