Question

Suppose nominal GDP in 2006 was $14460 billion. If the current year price index is 127. What was the real GDP for 2006 (in billion of dollars)? (Round your answer to the nearest whole number.)

Answer 1

$113.86 billion

Step-by-step explanation:

Real GDP = nominal GDP/ price index

Real GDP = $14460 billion / 127 = $113.86 billion

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