real and nominal

• Nominal GDP?

   actual value of all goods/services produced in an economy in a one-year period

  •  no adjustment to the amount based on the increase in general price levels (inflation)
• Real GDP?

   value of all goods/services produced in an economy in a one-year period - adjusted for inflation

  • For example, if nominal GDP is £100bn and inflation is 10% then real GDP is £90bn