Real GDP
A)is GDP adjusted for changes in the price level.
B)is also called nominal GDP.
C)measures GDP minus depreciation of capital.
D)will always change when prices change.

Question

Quizplus · Accepted Answer

Real GDP is adjusted for changes in the price level, meaning it reflects changes in output rather than just changes in prices. Nominal GDP, on the other hand, does not take inflation into account. Real GDP can change even if prices stay the same, as it measures the total value of goods and services produced in an economy.