Nominal GDP was $21,329.8 billion in Q2 of 2019 and fell to $19,520.1 billion in Q2...

Nominal GDP was $21,329.8 billion in Q2 of 2019 and fell to $19,520.1 billion in Q2 in 2020. Real GDP was $19,020.6 for Q2 in 2019 and $17,302.5 for Q2 in 2020, where 2012 was the base year. Compute the percentage change in the GDP deflator during this period.

Solutions

Expert Solution

Given Data: For Q2 of 2019, Nominal GDP = $21329.8 billion, Real GDP = $19020.6 billion

For Q2 of 2020, Nomial GDP = $19520.1 billion, Real GDP = $17302.5 billion

Now, For GDP deflator:

For Q2 of 2019:

For Q2 of 2020:

Now, For Percentage change in GDP deflator:

Percentage change in GDP deflator during this period is 0.61%

Rahul Sunny answered 2 years ago

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