https://file.aiquickdraw.com/mathbot/file/1727919864781n50juzjw.jpg

The image contains a formula for calculating **real GDP** using nominal GDP and the GDP deflator. The formula shown is:

\[
\text{Real GDP (99)} = \frac{\text{Nominal GDP}}{\text{GDP deflator}} \times 100
\]

In this specific case, the values provided are:
- **Nominal GDP** = 8,000
- **GDP deflator** = 110

Substituting the values:

\[
\text{Real GDP (99)} = \frac{8,000}{110} \times 100 = 7,273
\]

Thus, the real GDP for this example is **7,273**.

Do you have any further questions or need clarification on this calculation? 

Here are 5 related questions to explore this topic further:
1. What is the difference between real GDP and nominal GDP?
2. How does the GDP deflator help adjust for inflation?
3. Why is it important to calculate real GDP?
4. What other methods can be used to adjust nominal GDP for inflation?
5. How does inflation impact the accuracy of nominal GDP measurements over time?

**Tip:** Always use the GDP deflator when you want to adjust GDP figures to account for price level changes (inflation or deflation).

How to calculate real GDP using nominal GDP and GDP deflator?

Learn how to calculate real GDP by adjusting nominal GDP for inflation using the GDP deflator. In this example, Nominal GDP is 8,000 and the GDP deflator is 110, yielding a real GDP of 7,273.

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