Assertion (A): Nominal GDP is always equal to Real GDP.
Assertion (A): Nominal GDP is always equal to Real GDP.
Reason (R): Real GDP is a better measure to make periodic comparison in the physical output of goods and services over different years as compared to Nominal GDP.
Alternatives:
(a) Both Assertion (A) and Reason (R) are True and Reason (R) is the correct explanation of Assertion (A).
(b) Both Assertion (A) and Reason (R) are True and Reason (R) is not the correct explanation of Assertion (A)
(c) Assertion (A) is True but Reason (R) is False.
(d) Assertion (A) is False but Reason (R) is True.
Anurag Pathak Changed status to publish December 10, 2023
Ans – (d)
Assertion (A) is false as Nominal GDP can be equal, greater or less than the Real GDP as per the market price prevailing.
Reason (R) is true as real GDP is a better measure to make periodic comparisons as it changes with the change in the physical quantity produced.
Anurag Pathak Changed status to publish December 10, 2023
