GBP

GBP – GBP commonly refers to the Great British Pound, the official currency of the United Kingdom. It is also sometimes used in the context of digital currencies or stablecoins pegged to the British Pound, providing benefits such as high efficiency, lower transaction costs, enhanced security, and resistance to inflation compared to traditional fiat currency. Key Point: GBP remains one of the most widely traded and recognized currencies globally, serving as a benchmark in foreign exchange and international finance. GDP Deflator – The GDP deflator, also called the implicit price deflator, is an economic metric used to measure inflation by comparing the current prices of all goods and services produced in an economy to prices in a base year. It reflects how much of the increase in nominal GDP is due to rising prices rather than increased production.

Example: If nominal GDP grows by 10% but the GDP deflator shows 4% inflation, then only 6% of growth is due to real output increase