The GDP deflator is equal to
A)real GDP divided by nominal GDP.
B)nominal GDP divided by real GDP,multiplied by 100.
C)nominal GDP divided by real GDP.
D)real GDP divided by nominal GDP,multiplied by 100.

Question

Quizplus · Accepted Answer

The GDP deflator is calculated by dividing nominal GDP by real GDP and then multiplying the result by 100. This gives a measure of the level of prices of all new, domestically produced, final goods and services in an economy.

The GDP Deflator Is Equal to