The two factors that must be added to the percent change in per capita real gross domestic product (GDP) to yield the percent change in nominal GDP are:

Question

Quizplus · Accepted Answer

The two factors that must be added to the percent change in per capita real GDP to yield the percent change in nominal GDP are the percent change in prices (inflation) and the rate of population growth. Inflation reflects the increase in prices of goods and services produced by an economy, while population growth affects the size of the overall economy. The other options provided do not accurately reflect the factors that contribute to the change in nominal GDP.

The Two Factors That Must Be Added to the Percent