Nominal GDP

(redirected from Nominal GDPs)

Nominal GDP

Gross domestic product without or before accounting for inflation. Comparing nominal GDPs from year to year shows the amount an economy has grown or shrunk in dollar amounts, but does not show how the buying power of those dollars has been affected. Real GDP accounts for inflation. For example, if the nominal GDP has grown 10% and the inflation rate is 3%, the real GDP growth is 7%.