Nominal GDP and PPP GDP

[javedkey]

What is the difference between Nominal GDP and PPP GDP?
Seniors! Please explain in simple words.

[waqas izhar]

real GDP= nominal GDP-inflation

[javedkey]

Another term is Real GDP. I have searched it on other websites but the explanation was too complex to comprehend.

Please Waqas Izhar, Define Inflation too in simple words. Thanks for your first reply.

[waqas izhar]

inflation: mehengai, grani. every year rise in prices is called inflation

in detail tommorow, ok?

[Qaazi]

PPP GDP:
PPP GDP is gross domestic product converted to international dollars using purchasing power parity rates. An international dollar has the same purchasing power over GDP as the U.S. dollar has in the United States.

Nominal GDP:
Nominal GDP is GDP calculated based on current market prices. Therefore, nominal GDP will include all of the changes in market prices that have occurred during the current year due to inflation or deflation.

Real GDP:
An inflation-adjusted measure that reflects the value of all goods and services produced in a given year, expressed in base-year prices.

Inflation:
A general increase in prices and fall in the purchasing value of money is called Inflation.

[javedkey]

A little more explanation is needed with examples. Please...

[waqas izhar]

the sum of income of all the national of a country is called gross domestic product or GDP. If Peshawar is a country then in Peshawar there are Government employees, shopkeepers, laborers etc. add up all the salaries, wages and profits and you get GDP. if clear till here we can move on. if not clear ask now