If real GDP for a particular year is $5 trillion and the GDP price index for that year is 136,the nominal GDP for that year is
A)$3.7 trillion
B)$4 trillion
C)$6.8 trillion
D)$27 trillion
E)$68 trillion

Question

Quizplus · Accepted Answer

The formula for nominal GDP is: Nominal GDP = Real GDP x GDP Deflator
Using the values provided in the question, we can calculate:
Nominal GDP = $5 trillion x 136 = $6800 billion or $6.8 trillion. 
Therefore, the correct answer choice is (C).

If Real GDP for a Particular Year Is $5 Trillion