JOURNAL OF APPLIED BUSINESS AND ECONOMICS
A Refined Model to Predict Near-Term US Real GDP Growth
Author(s): Manuel G. Russon, Vipul Bansal
Citation: Manuel G. Russon, Vipul Bansal, (2021) "A Refined Model to Predict Near-Term US Real GDP Growth," Journal of Applied Business and Economics, Vol. 23, Iss.5, pp. 30-36
Article Type: Research paper
Publisher: North American Business Press
Abstract:
The Gross Domestic Product (GDP) is defined as the monetary value of all the finished goods and services produced within a country's borders in a specific time period. Real GDP (RGDP) is GDP adjusted for the cost of living and is computed as Nominal GDP divided by a deflator. It is largely taken to be a measure of the economy of a country’s well-being, while year over year percentage changes in the RGDP measure economic growth (RGDPG. This research investigates the possibility that, in addition to trend, inflation may be a determinant of RGDPG. Specially, inflation is found to be a leading determinant having a negative influence.