GDP deflator


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GDP Price Deflator

A ratio of nominal GDP to real GDP expressed as a percentage. The GDP price deflator is used as a measure of the inflation rate; it does not account for price changes in commodity baskets like the Consumer Price Index. Rather, it shows changes in GDP compared with a base year.

GDP deflator

A price index used to adjust gross domestic product for changes in prices of goods and services included in the GDP. The GDP deflator is a more broadly based and, many economists argue, a better measure of inflation than the consumer price index or the producer price index. Also called gross domestic product deflator.
References in periodicals archive ?
Based on the GDP deflator, the price level in Slovakia vis-a-vis the eurozone fell by almost 4 percent in the past three years.
The 2017 GDP deflator shows an inflation rate of 2.1 percent for the third quarter, going down from 2.7 percent in the first quarter and 2.5 percent in the second quarter.
"The GDP deflator is minus this time, because of low commodity prices that have pushed inflation into the negative territory.
Over the short run-a year or two-excess-money growth explains very little of the changes in the GDP deflator. If excess-money growth explained all of the annual price changes, the dots in the scatter plot below would line up along the 45-degree line, and all price movements would be inflation-strictly a monetary phenomenon.
The GDP deflator rose at an average of only 0.15 percent annually between 1991 and 2000 and fell at an annual average of 1.3 percent from 2001 to 2012.
In 2012 versus 2011 the GDP deflator index made up 98.4% (which is almost as much as the index in 2000 - 98.6%).
The GDP deflator, a wider gauge of inflation than consumer price index, lost 0.4 percent for the fourth consecutive quarter of fall, adding to the evidence that the country has been mired in mild deflation.
Ireland published last week lower-than-expected GDP figures for the last quarter of 2010, which showed a decline of 1.6% on the quarter and 0.7% on an annual basis, with the GDP deflator dropping by 4.1% year-on-year.
David Tinsley, economist at nabCapital, said one of the brighter spots was a fall in GDP deflator inflation to 2.6 per cent from 3.0 per cent.
The GDP deflator, a key price change gauge for the government, fell 0.8 percent for the 33rd straight quarterly decline.
In light of this, we considered four measures of inflation based on four measures of the aggregate price level: 1) the GDP deflator, 2) the price deflator for the nonfarm business sector (NFB), 3) the Consumer Price Index (CPI), and 4) the price deflator for personal consumption expenditures (PCE).
''We want to formulate new standards'' used for a new GDP deflator, he said.