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1. Suppose total output (real GDP) is $10,000 and worker-hours are 20,000. We can conclude that:
A. nominal GDP must be between $10,000 and $20,000.
B. labor productivity must be $0.50.
C. the price-level index must be less than 100.
D. real GDP per capita must be $200,000.
2. If the nominal interest rate is 18 percent and the real interest rate is 6 percent, the inflation rate is:
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