How do you find real GDP from GDP and cpi?

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1106798

2026-03-10 05:30

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To find real GDP from nominal GDP and the Consumer Price Index (CPI), you can use the formula:

[ \text{Real GDP} = \frac{\text{Nominal GDP}}{\text{CPI}} \times 100 ]

This adjusts nominal GDP for inflation, allowing you to see the value of goods and services at constant prices. By dividing nominal GDP by the CPI and multiplying by 100, you effectively remove the effects of price changes.

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