Implicit GDP Deflator

Anurag Educational Academy

👉Implicit GDP Deflator =Implicit Price Deflator
 =(Nominal GDP/Real GDP)×100

✔Nominal GDP-Gross domestic product at current or market price
✔Real GDP-Gross domestic product at base year price

👉GDP Deflator measures the level of price change(inflation) over the time

👉Pasche's Method(assumes Current year quantity as a weight)

👉Laspeyre's Method(assumes base year quantity as a weight)

👉Irving Fisher- (calculate the Geometric Mean using Pasche and Laspeyre's Method)

Playlist Link: "Only 10 Question"Series
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Anurag Educational Academy