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Real Economic Growth Rate |
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Real Economic Growth Rate The change in a nation's GDP after accounting for inflation. The economic growth rate (or GDP growth) shows how much GDP has grown or shrunk in raw dollar amounts and may not be an accurate accounting of how well or poorly an economy is performing. The real economic growth rate adjusts for how much buying power has been affected and therefore provides a more accurate view. For example, if the economic growth rate is 10% and the inflation rate is 3%, the real economic growth rate is 7%. See also: Real GDP, Nominal GDP. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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