4. Imagine that a country produces only three goods: apples, bananas, and carrots. The quantities produced and the prices of the three goods are listed below. Goods Apples Bananas Carrots Quantities Produced 5 10 20 Price $ 2.00 1.00 1.50 a. What is this country's GDP? b. Suppose that a drought hits this country, causing the quantity of apples produced to fall to 2 apples. Assuming all prices remain constant, what is the country's new GDP?
4. Imagine that a country produces only three goods: apples, bananas, and carrots. The quantities produced and the prices of the three goods are listed below. Goods Apples Bananas Carrots Quantities Produced 5 10 20 Price $ 2.00 1.00 1.50 a. What is this country's GDP? b. Suppose that a drought hits this country, causing the quantity of apples produced to fall to 2 apples. Assuming all prices remain constant, what is the country's new GDP?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Please solve Both a&b
![4. Imagine that a country produces only three goods: apples, bananas, and carrots. The
quantities produced and the prices of the three goods are listed below.
Goods
Apples
Bananas
Carrots
Quantities
Produced
5
10
20
Price
$ 2.00
1.00
1.50
a. What is this country's GDP?
b. Suppose that a drought hits this country, causing the quantity of apples produced
to fall to 2 apples. Assuming all prices remain constant, what is the country's
new GDP?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Febd25a29-d81f-4f0b-b63f-85065796ec40%2F85b3057b-56ea-48a0-a9a7-7d33fe4fdbc4%2Fy07v3di_processed.png&w=3840&q=75)
Transcribed Image Text:4. Imagine that a country produces only three goods: apples, bananas, and carrots. The
quantities produced and the prices of the three goods are listed below.
Goods
Apples
Bananas
Carrots
Quantities
Produced
5
10
20
Price
$ 2.00
1.00
1.50
a. What is this country's GDP?
b. Suppose that a drought hits this country, causing the quantity of apples produced
to fall to 2 apples. Assuming all prices remain constant, what is the country's
new GDP?
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