Which of the following scenarios would lead to an increase in real GDP, assuming no changes in prices or population?

Real GDP measures the total value of all goods and services produced in a country, adjusted for inflation. If a country increases its production of goods, such as cars or computers, this means more products are being made and sold, which directly raises real GDP. For example, if a factory that produces toys expands its operations and starts making 20% more toys than before, this increase in production contributes to a higher real GDP. On the other hand, if the population or prices do not change, then this growth is purely based on the increase in output. Therefore, any scenario that leads to higher production levels, like new factories opening or existing ones increasing their output, will result in an increase in real GDP.