Answered

How is the change in gross
domestic product (GDP)
tracked?
A. a quarter is compared to consumer price
index (CPI)
B. a quarter is compared to the most recent
quarter
C. a quarter is compared to the most recent
previous two quarters
D. a quarter is compared to the previous
year's quarter

Verified Answer :

GinnyAnswer

To track changes in the gross domestic product (GDP), one must compare data from specific periods. The correct method for measuring the change in GDP involves the following steps:

1. Select the quarter you want to analyze.
2. Identify the corresponding quarter from the previous year.

For example, if you want to examine the GDP for the first quarter of this year, you need to compare it to the GDP of the first quarter from last year.

After identifying the relevant quarters, you measure the percentage change between these two periods. This comparison gives you a more accurate representation of economic growth or decline, as it accounts for seasonal variations that could affect the GDP.

Thus, the correct option is D. A quarter is compared to the previous year's quarter.