deflator (Meaning)
deflator (n)
a statistical factor designed to remove the effect of inflation; inflation adjusted variables are in constant dollars
Synonyms & Antonyms of deflator
No Synonyms and anytonyms found
deflator Sentence Examples
- The GDP **deflator** provides a measure of how inflation impacts the real value of a nation's economic output.
- Economists utilize the GDP **deflator** to compare nominal GDP (current prices) with real GDP (adjusted for inflation).
- A high GDP **deflator** indicates significant inflation, highlighting a decrease in the purchasing power of money.
- Investors closely monitor the GDP **deflator** to assess the overall health of an economy and make informed investment decisions.
- Comparing the GDP **deflator** across different countries allows for an evaluation of their relative inflation rates.
- The formula for calculating the GDP **deflator** involves dividing nominal GDP by real GDP and multiplying by 100.
- While the Consumer Price Index (CPI) focuses on household goods, the GDP **deflator** offers a broader perspective on inflation across the entire economy.
- Central banks employ various tools to influence the GDP **deflator**, aiming to maintain price stability and prevent excessive inflation.
- Understanding the limitations of the GDP **deflator** is crucial, as it might not fully capture price changes in specific sectors.
- Economists use the GDP **deflator** in conjunction with other economic indicators to get a comprehensive picture of inflationary trends.
FAQs About the word deflator
a statistical factor designed to remove the effect of inflation; inflation adjusted variables are in constant dollars
No synonyms found.
No antonyms found.
The GDP **deflator** provides a measure of how inflation impacts the real value of a nation's economic output.
Economists utilize the GDP **deflator** to compare nominal GDP (current prices) with real GDP (adjusted for inflation).
A high GDP **deflator** indicates significant inflation, highlighting a decrease in the purchasing power of money.
Investors closely monitor the GDP **deflator** to assess the overall health of an economy and make informed investment decisions.
