Two methods used to adjust nominal values for inflation are

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The two methods used to adjust nominal values for inflation are indexing and deflating. Indexing involves adjusting the nominal value by a price index, such as the Consumer Price Index, to obtain a real value that reflects the purchasing power of the currency at the time of the adjustment. Deflating involves dividing the nominal value by a price index to obtain a real value, which reflects the value of the currency in a particular year.

Two Methods Used to Adjust Nominal Values for Inflation Are