real GDP
True economic production
Real GDP is gross domestic product adjusted for inflation, measuring economic output in constant dollars rather than current prices.
This adjustment allows meaningful comparisons across time periods: Real GDP grew 2.3% last year.
Without the adjustment, rising prices would inflate the numbers and mask whether an economy actually produced more goods and services.
Contrast with nominal GDP, which uses current prices.
- gross domestic productTotal national economic output
- economic growthSustained output increase
- nominalIn designation only
- per capitaFor each individual
- inflationSustained price level increase
output · productivity · recession · expansion · national income · purchasing power · standard of living · deflator · price level · base year · economic output · macroeconomics · unemployment · fiscal policy · federal reserve · baseline · quarterly · annual
- economic indicatorsGNP, CPI, PPI, inflation, inflation report
- macroeconomicsGNP, gross domestic product, gross national product, inflation rate, money supply
- GDPper capita, economic output, national income, growth rate, deflator