2 Views

Question : What is the nominal GDP if the real GDP is 500 and the price index is 150?

Option 1: 650

Option 2: 450

Option 3: 750

Option 4: 350


Team Careers360 4th Jan, 2024
Answer (1)
Team Careers360 12th Jan, 2024

Correct Answer: 750


Solution : The correct answer is 750 .

NGDP is the output of goods and services produced in a country, measured in current prices. RGDP adjusts for inflation or deflation, providing a measure of the economy's actual growth. The relationship between nominal GDP (NGDP), real GDP (RGDP), and the price index (PI) is given by the formula: NGDP = RGDP × (PI/100).

Given: RGDP = 500 and PI = 150; NGDP = 500 × (150/100); NGDP = 500 × 1.5 = 750. So, the nominal GDP is 750.

How to crack SSC CHSL

Candidates can download this e-book to give a boost to thier preparation.

Download Now

Know More About

Related Questions

TOEFL ® Registrations 2024
Apply
Accepted by more than 11,000 universities in over 150 countries worldwide
Manipal Online M.Com Admissions
Apply
Apply for Online M.Com from Manipal University
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books