Real GDP measures the value of goods and services produced in a given year using
A)base year prices.
B)prices of that same year.
C)no prices.
D)future prices.
E)government approved prices.

Question

Quizplus · Accepted Answer

Real GDP uses base year prices to measure the value of goods and services, allowing for the comparison of economic output across different years without the effects of inflation.

Real GDP Measures the Value of Goods and Services Produced