Computers and Technology

Computers and Technology

Zaniyah Carey

1 July, 12:49

Real GDP removes any inflation from the calculation of GDP. Why is it important to remove a general increase in prices from the calculation of GDP?

A. Including inflation into the calculation of GDP will under-estimate the GDP.

B. Including inflation into the calculation of GDP will over-estimate the GDP.

C. Not including inflation into the caluculation will over-estimate the GDP.

+4

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