If nominal GDP is equal to $10.5 trillion and real GDP is equal to $9 trillion, the GDP deflator is equal to
A) 1.5
B) 1.167
C) .857
D) 11.67

Name: If nominal GDP is equal to $10.5 trillion and real GDP is equal to $9 trillion, the GDP deflator is equal to A) 1.5 B) 1.167 C) .857 D) 11.67
Brand: Quizplus
Rating: 4.8 (31 reviews)

Question

Quizplus · Accepted Answer

The GDP deflator is calculated as (Nominal GDP / Real GDP) * 100. So, in this case, it would be ($10.5 trillion / $9 trillion) * 100 = 1.167.

If Nominal GDP Is Equal to $10