NGDP
Business & Finance abbreviation · Economics
| Stands for | Nominal gross domestic product |
|---|---|
| Categories | Business & Finance |
NGDP stands for Nominal gross domestic product, an economics abbreviation.
GDP measured at current prices, without adjusting for inflation, so it reflects both real output and price changes. Nominal growth roughly equals real growth plus inflation.
Example: With 2 percent real growth and 3 percent inflation, NGDP rose about 5 percent.
Usage notes
Some economists, notably Scott Sumner, advocate "NGDP targeting," in which a central bank aims for a steady growth path of nominal spending instead of an inflation rate. Nominal GDP matters for debt sustainability because government revenue and debt are both measured in nominal terms.
Related abbreviations
More economics abbreviations
- MPC – Monetary Policy Committee
- MPS – Marginal propensity to save
- MR – Marginal revenue
- NAIRU – Non-accelerating inflation rate of unemployment
- NBER – National Bureau of Economic Research
- NFP – Nonfarm payrolls
- NIRP – Negative interest-rate policy
- NTB – Non-tariff barrier
- ODA – Official development assistance
- PBoC – People's Bank of China
- PCE – Personal consumption expenditures
- PED – Price elasticity of demand