5. An economy produces three goods: laptops, Apple phones, and plums.Production units and prices per unit for years 2020 and 2021 are asfollows:20202021Quantity Price($) | QuantityPrice($)LaptopsApple PhonesPlums102,000123,00041,0006.5001,00011,0001a. What is nominal GDP in 2020 and in 2021?b. Using 2020 as the base year, what is real GDP in 2020 and in 2021?c. What is the percentage increase in real GDP from 2020 to 2021?d. Repeat b. using 2021 as the base year.e. Does the growth rate for real GDP depend on which year is chosenas the base year?

Nominal Gross Domestic Product (Nominal GDP) is the total market value of all goods and services…

a. What is nominal GDP in 2020 and in 2021? b. Using 2020 as the base year, what is real GDP in 2020 and in 2021? c. What is the percentage increase in real GDP from 2020 to 2021? d. Repeat b. using 2021 as the base year. e. Does the growth rate for real GDP depend on which year is chosen as the base year?

a. What is nominal GDP in 2020 and in 2021? b. Using 2020 as the base year, what is real GDP in 2020 and in 2021? c. What is the percentage increase in real GDP from 2020 to 2021? d. Repeat b. using 2021 as the base year. e. Does the growth rate for real GDP depend on which year is chosen as the base year?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Suppose nominal GDP in 2018 was $180,000,000 and in 2019 it was $185,000,000. The GDP price index in 2018 was 150 and in 2019 it was 153. The population in 2018 was 2,580 and in 2019 it was 2,600. Calculate Real GDP and Real GDP per capita in each year. Calculate the growth rates of Nominal GDP, Real GDP, and Real GDP per capita. Describe why the growth rates so different?
None
K An island economy produces only bananas and coconuts. The table gives the quantities produced and prices in 2018 and 2019. If the base year is 2019, compare the growth rates of nominal GDP and real GDP. >>> Answer to 1 decimal place. The growth rate of nominal GDP in 2019 is 26.4 percent. The growth rate of real GDP in 2019 using the chained-dollar method is percent. In 2018 Item Bananas Coconuts In 2019 Item Bananas Coconuts Quantity 95 bunches 60 bags Quantity 112 bunches 68 bags Price $7 a bunch $12 a bag Price $12 a bunch $6 a bag
Suppose that nominal GDP was $9250000.00 in 2005 in Orange County California. In 2015, nominal GDP was $12000000.00 in Orange County California. The price level rose 2.00% between 2005 and 2015, and population growth was 3.25%. Calculate the following figures for Orange County California between 2005 and 2015. Give all answers to two decimals. a. Nominal GDP growth was b. Economic growth was %. c. Inflation was d. Real GDP growth was e. Per capita GDP growth was f. Real per capita GDP growth was
If the GDP deflator rose by 10% last year and nominal GDP grew by 7%, then real GDP must have:a. fallen by 3%. b. risen by 17%.c. fallen by 17%. d. risen by 3%
83. Malthus assumed that population growth would be a GDP. Recent data suggests function of per-capita true. A. positive; this is B. positive; the opposite is C. negative; this is D. negative; the opposite is
Why do economists measure growth in real terms as opposed to nominal terms? Explain why real GDP a useful and important measure of a nation’s economic health? Who uses this information?
There are two economies. At the beginning of Year 1, their real GDPs are equal. Economy A grows at a constant rate of 4%, while Economy grows at a constant rate of 1%. Compute the ratio between the two economies real GDP after 10 years, 20 years and 30 years
The real GDP in 2010 was $1,800 billion and $1,944 billion in 2011.What is the growth rate in real GDP measured in percentage change? Question 9Answer a. 6% b. 7% c. 5% d. 8%
Give the latest estimated values of GDP, of GDP per capita, and of GNI, in the U.S., as reported by the US Department of Commerce, in both real and nominal values. Provide the most recent estimates of the rates of growth of GDP, in both real and nominal terms.
Choose the correct statement A. We measure the change in production by comparing nominal GDP in one year with nominal GDP in another year. B. Real GDP is the value of the final goods and services produced in a given year valued at the prices that prevailed in that same year C. Real GDP must increase every year D. We measure the change in production by comparing the value of real GDP in two different years.
Suppose nominal GDP was $13,302.3 billion in 2007 and was $13,790.2 billion in 2009. If the GDP deflator for 2009 (with a base year of 2007) was 103.034, what is the growth rate of real output between 2007 and 2009? Show your calculations, otherwise you will lose a lot of points..