Economic magnitudes measured at the prices actually paid are referred to as ________ magnitudes.

Question

Quizplus · Accepted Answer

Nominal magnitudes are measured at the actual prices paid in the market, without any adjustment for inflation or changes in purchasing power. This is different from real magnitudes which are adjusted to account for changes in nominal values due to inflation or changes in the value of currency. Actual, unadjusted, and gross are not commonly used terms when referring to economic magnitudes.

Economic Magnitudes Measured at the Prices Actually Paid Are Referred