Question

If real gdp in a particular year is $80 billion and nominal gdp is $240 billion, the gdp price index for that year is:

Answer 1

The gdp price index for that year is 300.
This is how we calculate this;
Gdp price index = 100 x nominal gdp / real gdp
=100 x 240 / 80
=24000/80
Gdp price index = 300