Refer to the graph above. Which of the following statements is correct on the basis of the information shown?
A) Real GDP must be deflated in each year after 2000 to determine nominal GDP
B) Nominal GDP must be inflated in each year since 2000 to determine real GDP
C) Nominal GDP must be deflated in each year before 2000 to determine real GDP
D) Nominal GDP must be inflated in each year before 2000 to determine real GDP

Question

Refer to the graph above. Which of the following statements is correct on the basis of the information shown?
A) Real GDP must be deflated in each year after 2000 to determine nominal GDP 
B) Nominal GDP must be inflated in each year since 2000 to determine real GDP 
C) Nominal GDP must be deflated in each year before 2000 to determine real GDP 
D) Nominal GDP must be inflated in each year before 2000 to determine real GDP

Quizplus · Accepted Answer

The Answer of  Refer to the graph above. Which of the following statements is correct on the basis of the information shown?
A) Real GDP must be deflated in each year after 2000 to determine nominal GDP 
B) Nominal GDP must be inflated in each year since 2000 to determine real GDP 
C) Nominal GDP must be deflated in each year before 2000 to determine real GDP 
D) Nominal GDP must be inflated in each year before 2000 to determine real GDP

Refer to the Graph Above