Final answer:
An increase in imports to the US can lead to a reduction in the price level due to increased supply and competition. The effect on real GDP is indeterminate as it can increase through consumer spending or decrease if domestic production is replaced.
Step-by-step explanation:
If imports to the United States increased, it would likely result in a greater supply of imported goods and services within the nation. An increase in the supply of goods might lead to a reduction in the price level because more goods are available at potentially lower prices due to competition. However, if the increase in imports is financed by consumer spending, then the real gross domestic product (GDP) might increase because consumer spending is a component of GDP. Alternatively, if the imports replace domestic production, it could decrease real GDP as domestic producers might reduce production due to lower demand for their products.
Therefore, without additional context, it's difficult to determine the exact outcome, but generally, an increase in imports tends to increase the price level and may have an indeterminate effect on real GDP, as it can either increase if funded by consumer spending or decrease if it replaces domestic products.