Real GDP

A) will increase in a given year even if aggregate production declines.
B) measures the current market value of aggregate production.
C) increases at a faster rate than GDP over time.
D) measures current aggregate production valued at base year prices.

Real GDP

The measure of a country's economic output adjusted for price changes, reflecting the true value of goods and services produced.

Aggregate Production

The total value of goods and services produced within an economy over a specific period.

Base Year Prices

Prices expressed in terms of a specific base year, used to remove the effects of inflation when comparing economic data across different years.