Reinsdorf, Marshall B. - In: Review of Income and Wealth 56 (2010) s1, pp. 177-177
Foreign trade enables a nation to consume a different mix of goods and services than it produces, so to measure real gross domestic income (GDI) for an open economy, we must deflate by an index of the prices of the things that this income is used to buy, not the price index for GDP. The...