iv) thanks (1) The following table gives some figures from a forecast of real GDP and population done in2009.<7Real GDP 2010 (billions)<| $9,558.6Real GDP 2011 (billions)$9,729.1Population 2010 (millions)Population 2011 (millions)279.1281.94(i) According to the forecast, approximately how much price inflation will there be between2010 and 2011?ܒܢ(ii) What is the per capita GDP projected to be in 2010 and 2011?K(iii) Compute the forecast rate of change in real GDP and per capita real GDP between 2010 and2011.(iv) If you buy a new car, the entire purchase is counted as consumption in the year in whichyou make the transaction. Explain briefly why this is in one sense an “error" in nationalincome accounting. How is the purchase of a car different from the purchase of a pizza?How could you correct this error?

Real GDP is a metric that takes inflation into account and examines the rate at which all goods and…

(1) The following table gives some figures from a forecast of real GDP and population done in 2009.< A Real GDP 2010 (billions)< Real GDP 2011 (billions) $9,558.6 $9,729.1 Population 2010 (millions) 279.1 Population 2011 (millions) 281.9 (i) According to the forecast, approximately how much price inflation will there be between 2010 and 2011? ← (ii) What is the per capita GDP projected to be in 2010 and 2011? (iii) Compute the forecast rate of change in real GDP and per capita real GDP between 2010 and 2011. ← (iv) If you buy a new car, the entire purchase is counted as consumption in the year in which you make the transaction. Explain briefly why this is in one sense an "error" in national income accounting. How is the purchase of a car different from the purchase of a pizza? How could you correct this error?

(1) The following table gives some figures from a forecast of real GDP and population done in 2009.< A Real GDP 2010 (billions)< Real GDP 2011 (billions) $9,558.6 $9,729.1 Population 2010 (millions) 279.1 Population 2011 (millions) 281.9 (i) According to the forecast, approximately how much price inflation will there be between 2010 and 2011? ← (ii) What is the per capita GDP projected to be in 2010 and 2011? (iii) Compute the forecast rate of change in real GDP and per capita real GDP between 2010 and 2011. ← (iv) If you buy a new car, the entire purchase is counted as consumption in the year in which you make the transaction. Explain briefly why this is in one sense an "error" in national income accounting. How is the purchase of a car different from the purchase of a pizza? How could you correct this error?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

iv) thanks

(1) The following table gives some figures from a forecast of real GDP and population done in
2009.<
7
Real GDP 2010 (billions)<| $9,558.6
Real GDP 2011 (billions)
$9,729.1
Population 2010 (millions)
Population 2011 (millions)
279.1
281.94
(i) According to the forecast, approximately how much price inflation will there be between
2010 and 2011?
ܒܢ
(ii) What is the per capita GDP projected to be in 2010 and 2011?
K
(iii) Compute the forecast rate of change in real GDP and per capita real GDP between 2010 and
2011.
(iv) If you buy a new car, the entire purchase is counted as consumption in the year in which
you make the transaction. Explain briefly why this is in one sense an “error" in national
income accounting. How is the purchase of a car different from the purchase of a pizza?
How could you correct this error?

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