Changes in real GDP reflect a. only changes in the amounts being produced. b. only changes in prices. c. neither changes in prices nor changes in the amounts being produced. d. both changes in prices and changes in the amounts being produced.

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NicolasWelch6107 NicolasWelch6107

11-01-2022
Business

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Changes in real GDP reflect a. only changes in the amounts being produced. b. only changes in prices. c. neither changes in prices nor changes in the amounts being produced. d. both changes in prices and changes in the amounts being produced.

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Tundexi Tundexi · Answer 1 · 2022-01-24T10:57:03+01:00

The changes in GDP reflects on the changes in the amounts being produced because the real GDP is an inflation adjusted measure of GDP.

What is a GDP?

GDP means the gross domestic product which is the monetary value of all domestic goods and services produced in a particular year.

Hence, the changes in GDP reflects on the changes in the amounts being produced because the real GDP is an inflation adjusted measure of GDP

Therefore, the Option A is correct.