The value of nominal GDP is $\$$1100 and the value of real GDP is $1000. Find the value of GDP deflator.

1.1

The correct answer is Option (2) → 1.1

 The ratio of nominal to real GDP is called GDP Deflator.

GDP deflator = Nominal GDP/Real GDP

                   = 1100/1000

                   = 1.1

Note: Normally, the formula for GDP deflator is (Nominal GDP / Real GDP) × 100. Since GDP Deflator is usually expressed as an index (base = 100), the correct value in this case would be 110. However, this is an NTA question where the simple ratio form has been asked, and therefore 1.1 has been taken as the correct answer as per the given options.