Calculating Real GDP, Price Indices, and Inflation. Using the data from the table below, answer the following questions: Quantities Produced 2011 2012 CDs 105 125 Tennis Rackets 210 220 Price per CD $21 $25 Prices Price per Tennis Racket $105 $125 Real GDP in 2011 using 2011 prices is $24255. (Enter your response as an integer.) Real GDP in 2012 using 2011 prices is $25725 (Enter your response as an integer.) Real GDP grew by 6.06 percent. (Enter your response as a percentage rounded to two decimal places.) The price index for GDP (GDP Deflator) for 2012 using 2011 as the base year is (Enter your response rounded to two decimal places.)

Calculating Real GDP, Price Indices, and Inflation. Using the data from the table below, answer the following questions: Quantities Produced 2011 2012 CDs 105 125 Tennis Rackets 210 220 Price per CD $21 $25 Prices Price per Tennis Racket $105 $125 Real GDP in 2011 using 2011 prices is $24255. (Enter your response as an integer.) Real GDP in 2012 using 2011 prices is $25725 (Enter your response as an integer.) Real GDP grew by 6.06 percent. (Enter your response as a percentage rounded to two decimal places.) The price index for GDP (GDP Deflator) for 2012 using 2011 as the base year is (Enter your response rounded to two decimal places.)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Step 1: Explain Real GDP

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Step 2: Calculate Real GDP in 2011

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Step 3: Calculate Real GDP in 2012 using 2011 Prices

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Step 4: Calculation of Growth Rate of Real GDP

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Step 5: Calculation of GDP Deflator for 2012

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