Question

Which of the following provides the measure of the general price inflation in an economy?

A Gross National Product Correct Answer Incorrect Answer
B Gross Domestic Product Correct Answer Incorrect Answer
C Gross Value Added Correct Answer Incorrect Answer
D GDP Deflator Correct Answer Incorrect Answer
E Gross purchasing parity Correct Answer Incorrect Answer

Solution

The GDP deflator, also called implicit price deflator, is a measure of inflation. It is the ratio of the value of goods and services an economy produces in a particular year at current prices to that of prices that prevailed during the base year,

Practice Next
×
×