If a small country has current nominal GDP of $30 billion and the GDP deflator is 50, what is its real GDP?
A) $15 billion
B) $30 billion
C) $60 billion
D) $150 billion

Name: If a small country has current nominal GDP of $30 billion and the GDP deflator is 50, what is its real GDP? A) $15 billion B) $30 billion C) $60 billion D) $150 billion
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Question

Quizplus · Accepted Answer

Real GDP is calculated by dividing the nominal GDP by the GDP deflator (expressed as a ratio to 100). So, $30 billion / (50/100) = $60 billion.

If a Small Country Has Current Nominal GDP of $30