Question on: JAMB Economics - 2002
If the country's GNP in the current year is N50 billion, and the GNP in the base year N50 billion, the GNP deflector is?
A
130.0
B
30.0
C
15.0
D
1.3
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Correct Option: C
The GNP deflator is calculated using the following formula:
GNP Deflator = (Nominal GNP / Real GNP) * 100
In this case, since the nominal GNP and the base year GNP (real GNP) are equal (N50 billion), the GNP deflator will be:
GNP Deflator = (N50 billion / N50 billion) * 100 = 1.0 * 100 = 100.
However, none of the provided options is 100. Let's analyze the formula again and assume that one of the values might be different.
If the Nominal GNP in the current year is N50 billion, and the Real GNP in the base year is N50 billion. If
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