The correct answer is:
d. risen or fallen because there is not enough information to determine what happened to real output.
Nominal GDP reflects the total market value of all goods and services produced in an economy at current prices. An increase in nominal GDP could be due to an increase in the quantity of output (real output) produced, an increase in prices, or a combination of both. Without knowing more about price changes (inflation or deflation), we cannot definitively conclude that output has risen. Therefore, it's possible that output has risen, fallen, or stayed the same in real terms.
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