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What is the main problem arising from the use of base year prices to measure real GDP? Select one: A. Real GDP is a measure
What is the main problem arising from the use of base year prices to measure real GDP?
Select one:
A.
Real GDP is a measure of the value of production rather than the volume of production.
B.
Real GDP is calculated with the assumption that the purchasing power of a dollar increases from one year to the next.
C.
When real GDP increases from year to year, the increase is due partly to changes in prices and partly to changes in quantities.
D.
Over time, prices of some goods and services change relative to prices of other goods and services.
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