Gdp that has been adjusted for changes in the price level (inflation) is called Real gross domestic product (real GDP)
A country's gross domestic product that has been accounted for inflation is known as real GDP. Compare this to nominal GDP, which calculates GDP using today's prices without taking inflation into account. Although the two indices track the same output, their applications—for changes in value versus changes in volume—are extremely different.
Real GDP gives a clearer insight of a country's rate of economic expansion. By using the GDP deflator to correct the data for inflation, you may determine how much economic output has increased (or decreased) independently of changes in prices.
A base year is chosen to account for inflation when calculating real GDP; the real GDP data record the quantities of products produced across time using prices from the same base year. Changes in volume rather than changes in value are reflected in the various real GDP numbers from different years.
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