Ask Question
3 November, 14:37

The difference between nominal GDP and real GDP is; A. nominal GDP measures actual productivity B. nominal GDP adjusts for inflation C. real GDP adjusts for inflation D. real GDP excludes imports and exports

+4
Answers (1)
  1. 3 November, 15:54
    0
    C. real GDP adjusts for inflation

    Explanation:

    Real GDP is a measure of a countries production in a given year adjusted for inflation. Real GDP is expressed in base-year prices. It measures inflation since the selected base year. Real GDP provides a more accurate measure of output as it considers changes in prices level. Without real GDP, a country GDP may appear to be growing, whereas its prices that have increased.

    Nominal GDP is a valuation of all goods and services produced in a country in a given year using the current prices. The nominal GDP figure is usually higher that of real GDP as it incorporates both growth and prices.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “The difference between nominal GDP and real GDP is; A. nominal GDP measures actual productivity B. nominal GDP adjusts for inflation C. ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers