Question

Explain the concept of nominal GDP and real GDP

Answer 1

Answer:

real GDP growth is the value of all goods produced in a given year,nominal gdp is value of all goods taking price changes into account

Answer 2

nominal GDP

• it is the first GDP at current prices it is a market value of a final goods and services produced with the domestic territory of a country during accounting year as estimated using the current year prices current your prices at the pricing travelling during the year of estimation

REAL GDP

• IT IS REFERS TO GDP AT CONSTANT PRICES IT IS THE MARKET VALUE OF THE FINAL GOODS AND SERVICES PRODUCED WITHIN WITH THE DOMESTIC TERRITORY OF A COUNTRY DURING AN ACCOUNTING AND ESTIMATING USING THE BASE THEIR PRICES BASE YEAR IS THE YEAR OF COMPARISON IT IS THE YEAR WHEN MICRO VALUE OF VARIABLES LIKE PRODUCTION AND GENERAL PRICE LEVEL AND TO BE WITH THEIR NORMAL RANGE