If in a given year a country's GDP at constant prices is 1000 currency units and the value of its implicit GDP deflator for that year is 110, the value of the country's GDP at current prices (in its currency units) is
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If in a given year a country's GDP at constant prices is 1000 currency units and the value of its implicit GDP deflator for that year is 110, the value of the country's GDP at current prices (in its currency units) is (A) 890 (B) 909· 09 (C) 990· 09 (D) 1100
National income accounting has come up 132 times in 6 exams since 2010.
This question is on Price indices: the GDP deflator and CPI, part of National income accounting in Macroeconomics.
How the price level and inflation are measured, and how the deflator differs from the CPI.
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Question from the JNU SSS 2010 paper. Solutions are TestStop's own. Not affiliated with or endorsed by any examination authority.