The GDP deflator is equal to
A) nominal GDP divided by real GDP.
B) real GDP divided by nominal GDP, multiplied by 100.
C) real GDP divided by nominal GDP.
D) nominal GDP divided by real GDP, multiplied by 100.
Question 2
Mortgage lenders often resell mortgages in secondary markets. How might this make lenders act differently than if they intended to hold the mortgages themselves?
What will be an ideal response?