The GDP deflator or price index equals
A)gross private domestic investment less the consumption of fixed capital.
B)gross national product less net foreign factor income earned in the United States.
C)nominal GDP divided by real GDP.
D)real GDP divided by nominal GDP.

Question

Quizplus · Accepted Answer

The GDP deflator is a measure of the level of prices of all new, domestically produced, final goods and services in an economy. It is calculated by dividing nominal GDP by real GDP and then multiplying by 100.

The GDP Deflator or Price Index Equals