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30-08-2018
Social Studies

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Which of the following is the correct way to calculate real GDP?

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hoangpm04 hoangpm04

31-08-2018

The formula for real GDP is nominal GDP divided by the deflator:

R = N/D.

For example, real GDP was $17.096 trillion in 2017. The nominal GDP was $19.391 trillion. The deflator was 1.13421.

$17.096 trillion = $19.391 trillion / 1.13421.

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