The value of all final goods and services produced within a nation’s borders in a given period, valued at the prices existing during the time period of production, is known as

Question

BlackTom AI · Accepted Answer

To tackle this question, I’ll examine what each term means in macroeconomics and see which matches the definition given.
Option a: Human Development Index. This index measures a composite level of development (health, education, standard of living) across countries, not the value of goods and services produced in a period. It is not a measure of economic production, so this is incorrect for the definition provided.
Option b: Nominal gross domestic product. This choice refers to the total monetary value of all final goods and services produced within a country’s borders during a specific period, valued at the prices existing in that same period of production. This aligns exactly with the description in the question, making it a strong candidate for correct.
Option c: GDP per capita. This is GDP divided by the population, giving an average economic output per person. While related to GDP, it is not the total value of production itself, so it does not match the given definition.
Option d: Real gross domestic product. Real GDP adjusts for changes in price level (inflation) to reflect quantities produced, using base-year prices rather than current-year prices. Since the question specifies prices existing during the time period of production (i.e., current nominal prices), this option does not fit.
In summary, the key distinction is whether the value is measured in current-period prices (nominal) or adjusted for inflation (real). The description explicitly mentions prices existing during production, which corresponds to nominal GDP rather than real GDP or any other measure.
Therefore, among the options, option b correctly identifies the concept described, while options a, c, and d describe different metrics or aspects that do not match the stated definition.

The value of all final goods and services produced within a nation’s borders in a given period, valued at the prices existing during the time period of production, is known as

View Explanation

Log in for full answers

Similar Questions

MC Qu. 114 Nominal GDP is... Nominal GDP is

More Practical Tools for Students Powered by AI Study Helper

Homework AI Solver

Stylized AI Paper Writer

Plagiarism Checker Assistant

Citation AI Academic Writing Tool

In-Class Translation Assistant

AI Note Generator

AI Quiz Answers

Past Exam Questions from University Test Bank

Smart Practice Assistant

Adaptive Practice

Making Your Study Simpler