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-Refer to Figure 5

Question 11

Multiple Choice

-Refer to Figure 5.1. If the GDP deflator has a base year value of P = 1.0 then the following are correct except: A) real GDP in the year 2006 is 0Y. B) nominal GDP in the year 2006 is the area 0Y x 0P. C) nominal and real GDP will be the same in every year. D) the GDP deflator in the year 2007 is 0P.
-Refer to Figure 5.1. If the GDP deflator has a base year value of P = 1.0 then the following are correct except:


A) real GDP in the year 2006 is 0Y.
B) nominal GDP in the year 2006 is the area 0Y x 0P.
C) nominal and real GDP will be the same in every year.
D) the GDP deflator in the year 2007 is 0P.

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