Real gross domestic product is defined as the value of all goods:
A) and services produced by an economy, within its borders, over a period of time, at base-year prices.
B) and services produced by an economy, within its borders, over a period of time, at current prices.
C) produced by an economy, within its borders, over a period of time, at current prices.
D) and services produced by an economy's citizens, regardless of where they live, over a period of time, at current prices.
E) and services produced by an economy's citizens, regardless of where they live, over a period of time, at base-year prices.

Question

Quizplus · Accepted Answer

Real gross domestic product (GDP) is calculated by valuing all the goods and services produced within a country's borders in a given time period using the prices from a base year, to adjust for inflation. This distinguishes it from nominal GDP, which uses current prices.

Real Gross Domestic Product Is Defined as the Value of All