Real gross domestic product is a measure of the:
A) Average price level in the economy
B) Value of final output produced within a country in one year, using current prices
C) Value of final output produced within a country in one year, adjusted for changing prices
D) Total value of available resources in a nation

Question

Quizplus · Accepted Answer

Real GDP is the value of final output produced within a country in one year, adjusted for changing prices. It takes into account the effects of inflation and provides a more accurate picture of a country's economic performance than nominal GDP (which uses current prices). Options A, B, and D do not accurately describe real GDP.

Real Gross Domestic Product Is a Measure of The