Real GDP is derived by using the GDP deflator to deflate nominal GDP.

Name: Real GDP is derived by using the GDP deflator to deflate nominal GDP.
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Real GDP is calculated by adjusting or deflating nominal GDP using a price index or GDP deflator to account for inflation. This way, real GDP reflects changes in the volume of goods and services produced in an economy in a given period, rather than just changes in market prices.

Real GDP Is Derived by Using the GDP Deflator to Deflate