Consider the table belowYearFruit IndexFruit InflationReal GDPNominal GDPGDP DeflatorGDP Inflation200593.48x4438.404162.0093.77x2006100.00a4768.00d100.006.642007b3.895163.435355.35103.72e2008115.33cf6514.45114.7810.66Based on the values of the table, what is the value of d ? (Please round your answer to include 2 decimal places.)

Nominal GDP is the value of goods and services produced in current prices, while real GDP is the value of goods and services produced in constant prices. The GDP deflator is a measure of the overall price level of goods and services included in GDP, and it is used to calculate inflation and changes in the price level over time.Here, real GDP and GDP deflator in 2006 is given. Using the given information, value of d would be: GDP deflator=(nominal GDP in 2006/real GDP in 2006)×100 (GDP deflator×real GDP in 2006)÷100=nominal GDP in 2006 (100×4768.00)÷100=nominal GDP in 2006 4768.00=nominal GDP in 2006 4768.00

Answered: Consider the table below Year Fruit…

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter22: Inflation

Section: Chapter Questions

Problem 20RQ: What is indexing?

See similar textbooks

Related questions

Question

Consider the table below

Year	Fruit Index	Fruit Inflation	Real GDP	Nominal GDP	GDP Deflator	GDP Inflation
2005	93.48	x	4438.40	4162.00	93.77	x
2006	100.00	a	4768.00	d	100.00	6.64
2007	b	3.89	5163.43	5355.35	103.72	e
2008	115.33	c	f	6514.45	114.78	10.66

Based on the values of the table, what is the value of d ? (Please round your answer to include 2 decimal places.)

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions