Real GDP will increase Select one: a. only if the price level falls. b. if either the price level rises or the quantity of final goods and services produced rises. However, using nominal GDP to measure the size of an economy may not always be the best approach. GDP may increase for a variety of reasons, which are discussed in subsequent chapters. Finally, letâs consider the effects of an increase in real gross domestic product (GDP). Another factor thatâs a prime contributor to real GDP growth in an economy is the real GDP per worker estimate. Increasing GDP is a sign of economic strength, and negative GDP ⦠  The current GDP rate is 33.4% for the third quarter of 2020, according to the third quarter third estimate of the Bureau of Economic Analysis (BEA). GDP may increase for a variety of reasons, which are discussed in subsequent chapters. GDP is the acronym for gross domestic product. Such an increase represents economic growth. Real GDP The increase in real GDP reflected increases in personal consumption expenditures (PCE), private inventory investment, exports, nonresidential fixed investment, and residential fixed investment that were partly offset by decreases in federal government spending (reflecting fewer fees paid to administer the Paycheck Protection Program loans) and state and local government spending. Real GDP is also alluded to as "constant-price," "inflation-corrected" or "constant-dollar GDP is an inflation-adjusted standard of a country's GDP. d. only if the price level rises. This is as opposed to nominal GDP which measures gross domestic product ⦠Previous question Next question Transcribed Image Text from this Question. The GDP growth rate is how much more the economy produced than in the previous quarter. when prices increase or output increases. The GDP of a country is one measure of the size of the country's economy. Real GDP will increase - D.) only when output increase. The real GDP growth rate shows the percentage change in a countryâs real GDP over time, typically from one year to the next. Real GDP will increase only when prices increase. while real GDP view the full answer. That's a large jump from the second quarter of 2020 when the economy suffered from the shutdowns put in place to prevent the spread of the COVID ⦠Units: Billions of Chained 2012 Dollars, Seasonally Adjusted Annual Rate Frequency: Quarterly Notes: BEA Account Code: A191RX Real gross domestic product is the inflation adjusted value of the goods and services produced by labor and property located in the United States.For more information see the Guide to the National Income and Product Accounts of the United States (NIPA). c. only if the quantity of final goods and services produced rises. Because nominal GDP measure goods and services at current price. 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