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if the price index is greater than 100, then 1) nominal GDP is greater than real GDP. 2) nominal GDP is lower than real GDP.
if the price index is greater than 100, then 1) nominal GDP is greater than real GDP. 2) nominal GDP is lower than real GDP. 3) nominal GDP equals real GDP 4) prices decrease by more than double between the cirrent and base year.
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Price index is given by Cost of basket in current year100 cost of basket in base y...
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Macroeconomics
Authors: Robert J Gordon
12th edition
138014914, 978-0138014919
