The table below shows nominal GDP and the price level in the

The table below shows nominal GDP and the price level in the years 2008 and 2016. Nominal GDP Price level ear(billions of dollars) (GDP deflator) 2008 14740.00 2016 16,077 1000 Real GDP in 2016, measured in billions of 2008 dollars, was

Solution

Answer:

GDP deflator in 2016 = Nominal GDP in 2016/Real GDP in 2016 x 100

107 = 16077/Real GDP in 2016 x 100

Real GDP in 2016 = 1607700/107 = 15,025.23= 15,025