In the economic way of thinking, a rise in the real output of final goods and services can be associated with
A) a fall in the price level.
B) a rise in nominal GDP.
C) a rise in the price level.
D) a fall in nominal GDP.
E) any of the above.
Question 2
What can economists conclude if they observe an increase in real GDP?
A) The price level must have fallen.
B) The real output of final goods and services must have risen.
C) National welfare must have risen.
D) Nominal GDP must have risen.
E) All of the above.
