Consider a simple economy that produces two goods: beers and paper plates. The following table shows the prices and quantities of the goods over a three-year period. Beers Paper plates Year Price (Dollars per beer) Quantity Price Quantity (Number of beers) (Dollars per paper plate) (Number of paper plates) 2020 2 215 3 155 2021 4 135 3 210 2022 2 150 3 190 Use the information from the preceding table to fill in the following table. Nominal GDP (Dollars) Real GDP (Base year 2020, dollars) GDP Deflator Year 2020 2021 2022 From 2021 to 2022, nominal GDP and real GDP The inflation rate in 2022 was Why is real GDP a more accurate measure of an economy's production than nominal GDP? Real GDP is not influenced by price changes, but nominal GDP is. Real GDP measures the value of the goods and services an economy produces, but nominal GDP measures the value of the goods and services an economy consumes. Real GDP includes the value of exports, but nominal GDP does not.