Use tne inrormation trom tne preceaing tabie to nii in tne roliowing tabie.Nominal GDPReal GDPYear(Dollars)(Base year 2016, dollars)GDP Deflator201620172018From 2017 to 2018, nominal GDPand real GDPThe Inflation rate in 2018 wasWhy is real GDP a more accurate measure of an economy's production than nominal GDP?O Real GDP Is not influenced by price changes, but nominal GDP is.O Real GDP does not include the value of intermediate goods and services, but nominal GDP does.Real GDP includes the value of exports, but nominal GDP does not. 1. Real versus nominal GDpConsider a simple economy that produces two goods: cupcakes and muffins. The following table shows the prices and quantities of the goods over athree-year period.CupcakesMuffinsPriceQuantityPriceQuantityYear(Dollars per cupcake) (Number of cupcakes) (Dollars per muffin)(Number of muffins)201612019520171301952018130145

1. Real versus nominal GDP Consider a simple economy that produces two goods: cupcakes and muffins. The following table shows the prices and quantities of the goods over a three-year period. Cupcakes Muffins Price Quantity Price Quantity (Dollars per cupcake) (Number of cupcakes) (Dollars per mutfin) (Number of muffins) Year 2016 120 195 2017 130 195 2018 130 145

1. Real versus nominal GDP Consider a simple economy that produces two goods: cupcakes and muffins. The following table shows the prices and quantities of the goods over a three-year period. Cupcakes Muffins Price Quantity Price Quantity (Dollars per cupcake) (Number of cupcakes) (Dollars per mutfin) (Number of muffins) Year 2016 120 195 2017 130 195 2018 130 145

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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The table provides data on the economy of Pak Republic that produces only fish and crabs. Quantities Fish Crabs Prices Fish 2009 2010 1,000 tons 500 tons 2009 Rs.2000 a ton Rs.3000 a 1,100 tons 525 tons 2010 ton Crabs Rs.1000 a ton Rs.800 a ton Calculate Pak Republic's nominal GDP in 2009. Calculate Pak Republic's nominal GDP in 2010. Calculate Pak Republic's real GDP in 2010 expressed in 2009 dollars.
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Calculate the GDP using Income OR Expenditure Approach (all figures are in billions of dollars) ITEM Amount ($) Government purchase of goods and services 1,721.6 Exports 1,096.3 Receipts of factor income from the restof the world 382.7 Depreciation (consumption of fixed capital) 990.8 Net fixed Investments 688.2 Corporate income taxes 265.2 Consumption expenditures 6,739.4 Indirect business taxes 664.6 Imports 1,475.8 Payments of factor income to the rest of the world 343.7 Inventory change 56.5 Social security contributions 702.7 Undistributed corporate profits (retained earings) 130.3 Government transfer and interest payments 1,366.3 Personal interest payments 286.2 Personal Taxes 1,235.7 Type answer please
34. Which of the following is the definition of GDP? a.The market value of intermediate goods and services in a year b.The market values of all final goods and services in a year c.The market value of non -durable goods in a year d.The market value of durable goods in a year
Consider a simple economy that produces two goods: pencils and muffins. The following table shows the prices and quantities of the goods over a three-year period. Year Pencils Muffins Price Quantity Price Quantity (Dollars per pencil) (Number of pencils) (Dollars per muffin) (Number of muffins) 2018 1 140 2 200 2019 2 125 4 220 2020 3 120 4 180 Use the information from the preceding table to fill in the following table. Year Nominal GDP Real GDP GDP Deflator (Dollars) (Base year 2018, dollars) 2018 2019 2020 From 2019 to 2020, nominal GDP , and real GDP . The inflation rate in 2020 was . Why is real GDP a more accurate measure of an economy's production than nominal GDP? Nominal GDP is adjusted for the effects of inflation or deflation, whereas real GDP is not. Real GDP measures the value of the goods and services an economy produces,…
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Compute the values of nominal GDP 2017, 2018 and 2019.
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