Deflation

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In the field of economic statistics , deflation refers to the adjustment of quantities expressed in monetary units (e.g. gross domestic product ) to remove the influence of inflation . This is done by dividing the observed size ( nominal size ) by a corresponding price index . The result is a real, price-adjusted size.

In the German national accounts , the price index was calculated in prices of a certain base year. From 2005 onwards, the prices of the previous year were used as the basis.

See also: deflation

Individual evidence

1. ↑ Braakmann et al .: Revision of the National Accounts 2005 for the period 1991 to 2004. Economy and Statistics 5/2005, Federal Statistical Office.