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The ratio between the nominal and real GDP is called ____.
Net national income
Value added GDP
Green GDP
GDP deflator
- Net National Income (Option 1): This represents the total income earned by a nation's residents and businesses, including any foreign income. It's not directly related to the nominal and real GDP ratio.
- Value Added GDP (Option 2): This measures the net output contributed by various production processes in an economy. It's not the ratio between nominal and real GDP.
- Green GDP (Option 3): Reflects economic growth while accounting for environmental costs. It doesn't describe the nominal to real GDP ratio.
- GDP Deflator (Option 4): This is indeed the ratio of nominal GDP to real GDP. It measures price level changes and inflation.
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