Is the quantity of goods and services the economy can produce a real or nominal variable?

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Business

Lowery

9 April, 07:16

Is the quantity of goods and services the economy can produce a real or nominal variable?

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Izabella Oconnell · Answer 1

The quantity of goods and services that can be produced by the economy is classified as a real variable. While nominal variables are measured in terms of dollars (like price level or quantity of money), real variables measure relative prices or quantities (like the quantity of goods and services produced in an economy).