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Question Practice

If the real GDP of a country is higher than its nominal GDP, what can be concluded?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Economics
Introductory Macroeconomics
National Income Accounting
Question Bank

If the real GDP of a country i...

Single Answer MCQ
Q-00106738

If the real GDP of a country is higher than its nominal GDP, what can be concluded?

1

The country is experiencing significant inflation.

2

The prices of goods have decreased since the base year.

3

Nominal GDP is growing faster than real GDP.

4

The economy is in recession.

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Q1.

What does GDP stand for?

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Q2.

Which of the following is NOT included in GDP calculation using the expenditure method?

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Q3.

In the expenditure method, which component represents expenditures by households?

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Q4.

What is the formula for GDP using the expenditure method?

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