When there is a deflation in an economy (with the growth is still positive.) This is due to the fact that the value of money increase during a deflation (as opposed to inflation.) However, growth during this period is very difficult since deflation is characterized largely by deffered consumption and investments.
no
The real GDP is influenced by inflation.
Real GDP reflects output more accurately than nominal GDP by using constant prices.
I never thot tht i could be writing on wiki one day anyways i dnt knw the answer to im actually looking for the answer
deflation
When there is a deflation in an economy (with the growth is still positive.) This is due to the fact that the value of money increase during a deflation (as opposed to inflation.) However, growth during this period is very difficult since deflation is characterized largely by deffered consumption and investments.
no
The real GDP is influenced by inflation.
Real GDP reflects output more accurately than nominal GDP by using constant prices.
I never thot tht i could be writing on wiki one day anyways i dnt knw the answer to im actually looking for the answer
deflation
inventories will increase and real GDP will decline.
the value of the dollar is stable
It can if your population increases faster than your GDP. Imagine if you have a 6% growth in GDP but a 10% growth in population => a reduction of 4% in GDP per capita.
Yes, by a lot:Mexico GDP: USD$1.56 trillionUS GDP: USD$14.26 trillion (more than 9 times the size of Mexico's GDP).
Because more is spent than there actually is.
as long as a different sector of the economy contributes to GDP by more than was lost from unemployment, real GDP will rise, if only marginally.