Ask Question
15 July, 12:11

Why is real GDP a more accurate measure of an economy's production than nominal GDP?

+5
Answers (1)
  1. 15 July, 16:00
    0
    The answer for the following question is given below:

    Explanation:

    Nominal GDP is the price, inflation-unadjusted for, goods and services produced in a country. Real GDP is a nominal GDP, calculated to reflect changes in aggregate demand for inflation.

    Real GDP is a more accurate indicator of the output of a country than nominal GDP since real GDP calculates the value of the product and services generated by an economy while nominal GDP calculates the price of the product and services consumed by an economy.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Why is real GDP a more accurate measure of an economy's production than nominal GDP? ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers