My question is (e), could u tell me how to get the value of CPI in the given form please? I upload the previous questions as ur reference, maybe u will use the result based on them.Thank u:) c) Calculate the nominal GDP for each year? What is the percentage change in nominal GDPfrom 2005 to 2006 and from 2006 to 2007?Year200520062007d) Calculate the real GDP using 2005 prices for each of the three years. What is the percentagechange in real GDP from 2005 2006 and from 2006 to 2007?Year200520062007Nominal GDP Nominal GDP Rate of Change$10,030$11,792$14,191Year2005Real GDP Real GDP Rate of Change$10,030$10,530$11,945e) Using the year 2005 as the base year, compute the following statistics for each year. Com-pare the answers and explain the difference.17.6%20.3%Year Nominal GDP Real GDP200520062007The Implicit Price Deflator for GDP (Paasche Index) and InflationAssume consumer basket is composed of quantities in year 2005, calculate the fixedweight price index such as CPI (Laspeyres Index) and Inflation.10$10,030$11,792$14,1915%13.4%$10,030$10,530$11,945GDP Deflator Inflation %100.000111.984118.802- Assume consumer basket is composed of quantities in year 2005, calculate the fixed weight priceindex such as CPI (Laspeyres Index) and Inflation.Computers 2005 DVD 2005 Pizza 2005Price$90010Qty Price Qty Price Qty$10 100 $15$12 100 $16$14 100 $172006 $1,0002222007 $1,05011.986.09Basket Cost CPI$10,030 100.000$11,232 111.984$11,934 118.983Inflation%า11.986.25 *****QUESTION - 6 -The country of Warwickia produces and consumes three products: Computers, T-shirts and Pizza.The table provided gives information on the prices and production of these three goods for theyears 2005, 2006, and 2007. (As a suggestion, it is recommended to use an Excel spreadsheet forany calculations needed)2006 $10002007$1050ComputersYears. Prices Quantity Prices Quantity Prices2005 $90010$10100$1510.5$12105$1612$14110$17(10.5-10)10Computers: 5.0% (equal to- T-shirts: 5.0% (equal to(105-100)100- Pizza: 0% (equal to (²-2) × 100)T-shirtsa) What is the per cent change in production of each of the goods from 2005 to 2006, 2006 to2007?- From 2005 to 2006, the per cent change in the production ofx 100)x 100)Computers: 5.0% (equal to- T-shirts: 16.7% (equal to- Pizza: 6.25% (equal to- From 2006 to 2007, the per cent change in the production ofComputers: 14.3% (equal to12-10.510.5x 100)- T-shirts: 4.8% (equal to 110-105 x 100)105- Pizza: 50.0% (equal to ³-² × 100)($1,000-$900)$900Computers: 11.1% (equal to- T-shirts: 20.0% (equal to ($12-$10) x 100)$10- Pizza: 6.7% (equal to($16-$15)$15x 100)- From 2006 to 2007, the per cent change in the price of($1,050-$1,000)$1,000x 100)x 100)b) What is the per cent change in prices of each of the goods from 2005 to 2006, 2006 to 2007?- From 2005 to 2006, the per cent change in the price of($14-$12)$12($17-$16)$16Pizzax 100)12Quantity223x 100)

CPI refers to the total expenditure made in a particular year by the consumers of the economy. It…

c) Calculate the nominal GDP for each year? What is the percentage change in nominal GDP from 2005 to 2006 and from 2006 to 2007? Year 2005 2006 2007 Nominal GDP Nominal GDP Rate of Change $10,030 $11,792 $14,191 Year 2005 2006 2007 d) Calculate the real GDP using 2005 prices for each of the three years. What is the percentage change in real GDP from 2005 to 2006 and from 2006 to 2007? Real GDP Real GDP Rate of Change $10,030 $10,530 $11,945 17.6% 20.3% e) Using the year 2005 as the base year, compute the following statistics for each year. Com- pare the answers and explain the difference. The Implicit Price Deflator for GDP (Paasche Index) and Inflation - Assume consumer basket is composed of quantities in year 2005, calculate the fixed weight price index such as CPI (Laspeyres Index) and Inflation. $10,030 $11,792 $14,191 5% 13.4% Year Nominal GDP Real GDP GDP Deflator Inflation % 2005 2006 2007 $10,030 $10,530 $11,945 $15 $16 $17 100.000 111.984 118.802 - Assume consumer basket is composed of quantities in year 2005, calculate the fixed weight price index such as CPI (Laspeyres Index) and Inflation. Computers 2005 DVD 2005 Pizza 2005 Year Price Qty Price Qty Price 2005 $900 100 2006 $1,000 10 $10 10 $12 100 10 $14 100 2007 $1,050 11.98 6.09 Qty 2 2 2 Basket Cost CPI Inflation% $10,030 $11,232 111.984 100.000 $11,934 118.983 า 11.98 6.25

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC