Measuring Macroeconomic Activity IV (Nominal and Real Values) Flashcards by Frederic Michel | Brainscape

Flashcards in Measuring Macroeconomic Activity IV (Nominal and Real Values) Deck (11)

Loading flashcards...

1

Nominal GDP

Nominal GDP = ∑ P(i,t) • Q(i,t) i = Good
t = period

2

Real GDP in t (Laspeyres approach)

Y(t) = ∑ P(i,0) • Q(i,t)

3

growth rate of real GDP in t (Laspeyres)

1 + g(Y(t)) = ∑ P(i,0) • Q(i,t)
------------------------
∑ P(i,0) • Q(i,t-1)

4

Real GDP in t (Paasche approach)

Y(t) = ∑ P(i,T) • Q(i,t)

5

growth rate of real GDP in t (Paasche)

1 + g(Y(t)) = ∑ P(i,T) • Q(i,t)
------------------------
∑ P(i,T) • Q(i,t-1)

6

growth rate of Real GDP in t with chain weight

1 + g(Y(t)) = Wurzel aus {growth of real GDP (L) • growth of
real GDP (P)}

7

Annual Laspeyres

∑ P(i,t-1) • Q(i,t)
-------------------------
∑ P(i,t-1) • Q(i,t-1)

8

Annual Paasche

∑ P(i,t) • Q(i,t)
-----------------------
∑ P(i,t) • Q(i,t-1)

9

growth rate of real GDP in t with annual chain weight

1 + g(Y(t)) = Wurzel aus {annual Laspeyres • annual
Paasche}

10

GDP deflator-based price level

Price Level(t) = P(t) = Nominal GDP(t)
--------------------------
Real GDP(t)

11

GDP deflator-based rate of inflation

Rate of Inflation = π(t) =

(Percantage change in nominal GDP) -
(Perlentage change in real GDP) {both from t-1 to t}