Practise defining and measuring real economic growth, interpreting country data and evaluating causes and consequences for jobs, living standards, inflation, trade and public…
What is used to convert nominal GDP to real GDP?
exchange rates
changes in the price level
interest rates
taxation
Economic growth leads to increased levels of income and consumption per capita for the adult population.
Which circumstances are needed for this to happen in an economy?
a change in technology that maintains the same level of output
an increase in economic efficiency through higher productivity of factor inputs
a policy of progressive taxation to reduce inequalities
a rise in the size of the working population due to immigration
The table shows GDP indices for a country over a three-year period.
Inflation and economic growth are two macroeconomic policy objectives.
Which row gives a correct assessment of the country's achievement of these two objectives over the period?
rate of inflation
rate of
economic growth
cannot tell
positive
declining
cannot tell
positive
declining
rising
negative