b) Use the production and price information in the table to calculate real GDP for 2016, 2017, and 2018 using 2016 as the base year. What is the growth rate of real GDP from 2016 to 2017 and from 2017 to 2018? c) Use the production and price information in the table to calculate real GDP for 2016, 2017, and 2018 using 2017 as the base year. What is the growth rate of real GDP from 2016 to 2017 and from 2017 to 2018? 2016 2017 2018

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How would I do b and c
6. Gorgonzola is a small island nation with a simple economy that produces only six goods: sugar
cane, yo-yos, rum, peanuts, harmonicas, and peanut butter. Assume that one-quarter of all the sugar
cane is used to produce rum and one-half of all the peanuts are used to produce peanut butter.
a) Use the production and price information in the table to calculate nominał GDP for 2018.
b) Use the production and price information in the table to calculate real GDP for 2016, 2017, and
2018 using 2016 as the base year. What is the growth rate of real GDP from 2016 to 2017 and from
2017 to 2018?
c) Use the production and price information in the table to calculate real GDP for 2016, 2017, and
2018 using 2017 as the base year. What is the growth rate of real GDP from 2016 to 2017 and from
2017 to 2018?
2016
2017
2018
Product Quantity Price Quantity Price Quantity Price
Sugar cane
Yo-yos
240
$0.80
240
$1.00
300
$1.15
600
2.50
700
3.00
750
4.00
Rum
150
10.00
160
12.00
180
15.00
2,00
450
2.50
30.00
Peanuts
500
450
2.50
Harmonicas
75
25.00
75
85
30.00
Peanut butter
100
4.50
85
4.50
85
5.00
15
DI
DD
000
F7
F8
F9
F10
F2
F3
F4
F5
%2#
$
%
&
3
4
6
7
8
W
R
※口
Transcribed Image Text:6. Gorgonzola is a small island nation with a simple economy that produces only six goods: sugar cane, yo-yos, rum, peanuts, harmonicas, and peanut butter. Assume that one-quarter of all the sugar cane is used to produce rum and one-half of all the peanuts are used to produce peanut butter. a) Use the production and price information in the table to calculate nominał GDP for 2018. b) Use the production and price information in the table to calculate real GDP for 2016, 2017, and 2018 using 2016 as the base year. What is the growth rate of real GDP from 2016 to 2017 and from 2017 to 2018? c) Use the production and price information in the table to calculate real GDP for 2016, 2017, and 2018 using 2017 as the base year. What is the growth rate of real GDP from 2016 to 2017 and from 2017 to 2018? 2016 2017 2018 Product Quantity Price Quantity Price Quantity Price Sugar cane Yo-yos 240 $0.80 240 $1.00 300 $1.15 600 2.50 700 3.00 750 4.00 Rum 150 10.00 160 12.00 180 15.00 2,00 450 2.50 30.00 Peanuts 500 450 2.50 Harmonicas 75 25.00 75 85 30.00 Peanut butter 100 4.50 85 4.50 85 5.00 15 DI DD 000 F7 F8 F9 F10 F2 F3 F4 F5 %2# $ % & 3 4 6 7 8 W R ※口
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