Suppose that 1996 is the base year, in which price index equals 100.And suppose that in 2010 the price index was 200, and nominal GDP was $6.2 trillion.What was real GDP in 2010, measured in 1996 dollars?

Question

Quizplus · Accepted Answer

To calculate real GDP in 2010, measured in 1996 dollars, we need to use the formula:

Real GDP (base year dollars) = Nominal GDP (current year dollars) / Price index (current year) x 100

Plugging in the given values, we get:

Real GDP (1996 dollars) = $6.2 trillion / 200 x 100 = $3.1 trillion

Therefore, the answer is A) $3.1 trillion.

Suppose That 1996 Is the Base Year, in Which Price