When differences between nominal GDP and real GDP result due to ...

[genevieve1028]

When differences between nominal GDP and real GDP result due to price changes and nothing else is compared, an index is created called the
 
  A) consumer price index. B) index of leading indicators.
  C) GDP deflator. D) inflation index.

Question 2

The quantity theory of money and prices assumes
 
  A) the price level is increasing at a constant rate. B) the price level is constant.
  C) real output is constant. D) velocity is constant.

[tashiedavis420]

Answer to Question 1

C

Answer to Question 2

D