Author Question: Suppose that nominal GDP did not change in 2011, and real GDP decreased, relative to the year 2010 . ... (Read 41 times)

Shelles · **on:** Jun 30, 2018

Suppose that nominal GDP did not change in 2011, and real GDP decreased, relative to the year 2010 . It can be concluded that:
a. total production of goods and services in the economy did not change in 2011.
b. the economy experienced deflation during 2011.
c. the price level did not change during 2011.
d. total production of goods and services in the economy declined during 2011.

Question 2

The average propensity to save (APS) is the proportion of disposable income that is saved.
a. True
b. False
Indicate whether the statement is true or false