Question

Nominal GDP is multiple choice 1 the sum of intermediate and final goods and services, whereas real GDP is the sum of final goods and services only. determined in g

Answer 1

Answer: b. market or money value of all final goods and services produced by the economy in a given year, whereas real GOP is adjusted for inflation

Explanation:

Nominal GDP for a given year refers to the final value of all goods and services in the country using the current year prices.

Real GDP however, makes it easier to compare the nominal GDP to past GDPs because it removes the effects of inflation by using prices from a base year to calculate GDP. This way it can be seen if the economy actually grew.