The GDP deflator for a given year is 100 times _____ GDP for that year _____ GDP for that year.
A)nominal; divided by real
B)real; divided by nominal
C)nominal; minus real
D)real; plus nominal

Question

Quizplus · Accepted Answer

The GDP deflator is calculated by dividing the nominal GDP for a given year by the real GDP for the same year, and then multiplying by 100. Therefore, the answer is A, which states that the GDP deflator is 100 times the nominal GDP for that year divided by the real GDP for that year.

The GDP Deflator for a Given Year Is 100 Times