If You Have $10,000 and the Gross Domestic Product (GDP)

Multiple Choice

If you have $10,000 and the Gross Domestic Product (GDP) deflator increases from 100 to 110, then

A) the $10,000 will buy 10 percent less of the goods and services produced by society.
B) the $10,000 will buy 10 percent more of the goods and services produced by society.
C) the value of the $10,000 increases.
D) you will be able to buy fewer goods, but the real value of those goods will increase.