3. Suppose an economy produces only one good. In the base year (2000), production was 8 units ata price of $10 each. The next year, production increased to 9 units and the price of the goodincreased to $12.a. Find nominal GDP in years 2000 and 2001.b. if the price index is 100 in the base year, what is the value of the price index in year2001?C Find real GDP in year 2001.Suppose a hypothetical national economy can be represented by the following data:NominalPrice IndexRealYearGDP(2000 100)GDP2007$15361282008$16631322009135$12742010$1792140d. Find real GDP in years 2007, 2008, and 2010,e. Find nominal GDP in year 2009

Nominal GDP is the market value of goods and services produced in an economy, unadjusted for…

Find real GDP in year 2001. Suppose a hypothetical national economy can be represented by the following data Nominal Price Index Real Year GDP (2000 100) GDP 2007 $1536 128 2008 $1663 132 2009 135 $1274 2010 $1792 140 Find real GDP in years 2007, 2008, and 2010, 2000

Find real GDP in year 2001. Suppose a hypothetical national economy can be represented by the following data Nominal Price Index Real Year GDP (2000 100) GDP 2007 $1536 128 2008 $1663 132 2009 135 $1274 2010 $1792 140 Find real GDP in years 2007, 2008, and 2010, 2000

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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