If real GDP for a given year is $2400 billion and nominal GDP is $2400 billion,
A. this year is the base year for the GDP deflator.
B. the GDP deflator for this year is 1.25.
C. the GDP deflator for this year is 0.8.
D. the GDP deflator for this year is 1.10.
Answer:A
If real GDP for a given year is $2400 billion and nominal GDP is $2400 billion,
A. this year is the base year for the GDP deflator. B. the GDP deflator for this year is 1.25. C. the GDP deflator for this year is 0.8. D. the GDP deflator for this year is 1.10.