Author Question: If the value of a price index was 125 for 2005 and 75 for 1982, and GDP was 2500 in 2005 compared to ... (Read 124 times)

NguyenJ · **on:** Jun 30, 2018

If the value of a price index was 125 for 2005 and 75 for 1982, and GDP was 2500 in 2005 compared to 600 in 1982, the value of real 2005 GDP in terms of 1982 prices is

a. 1500.
b. 1000.
c. 2500.
d. 360.

Question 2

The root cause of the hyperinflation that plagued Zimbabwe in the 2000s is ________.

A) printing of too much money by the central bank
B) government expenditures greatly above revenues
C) outlawing of price increases on many commodities
D) allowing the use of foreign currencies
E) the issuance of a 100 billion bank note