Statistics In our discussion of the collection of macroeconomic statistics, we focused on the way in which the overall price level in the economy is measured, the way in which the unemployment of the population is measured, and the way in which the production of the economy is measured. We had also mentioned that these statistics had flaws and either overestimated or underestimated the reality of the situation. Briefly discuss the ways in which the measurement of the price level with the CPI, the unemployment rate, and the GDP are inaccurate.

Q: 2017 2018 apples sold 1 billion at £1 each 2 billion at £2 each bananas sold 1 billion at £1 each 2…

A: The GDP deflator is a measure of the price level of all new, domestically produced final products…

Q: 1. a. Use the information in the table below to calculate the real 2015 GDP, in 2009 dollars. U.S.…

A: Here we calculate the real GDP by using the given table , so here calculation of the following as…

Q: A researcher finds that, for an economy, the nominal GDP in the year 2015 equaled the nominal GDP in…

A: GDP refers to the value of all final goods and services produced in an economy over a given period…

Q: year with the price of the same bundle of goods in some base year. Suppose the market basket to…

A: To calculate the CPI for each year, we first need to calculate the cost of the market basket for…

Q: Please use the following information to calculate the rate of inflation between the two periods…

A: GDP Deflator = Nominal GDP / Real GDP * 100 Inflation rate = Percentage increase in GDP deflator

Q: The classical dichotomy is the separation of real and nominal variables. The following questions…

A: Any economic statistic that has a nominal value is one that is calculated using current, accurate…

Q: Use the data presented in the following scenario to answer the questions that follow. labor force…

A: The labor force participation rate is calculated as the ratio of the number of people in the labor…

Q: Suppose that the British economy produces two goods: laptops and books. The quantity produced and…

A: b. Using your answer from part (a), if the growth rate in nominal GDP was 15%,books must have been…

Q: Consider an economy that produces and consumes bread and automobiles. In the table below are data…

A: Nominal GDP = Aggregate value of (Current year price x Current year quantity) Real GDP = Aggregate…

Q: In 2014, the cost of a market basket of goods was $2,000. In 2016, the cost of the same market…

A: (Since you have posted multiple questions, we will answer the first one for you. If you want a…

Q: Refer to the information provided in Table below Find the nominal and real GDP for the following…

A: Nominal GDP is the value of all the goods and services produced in the economy in a specific period…

Q: 1971 40.5 1999 166.6 1972 41.8 2000 172.2 1973 44.4 2001 177.1 1974 49.3 2002 179.9 1975 53.8 2003…

A: Consumer Price Index:CPI means the price change based on a basket of goods and services. CPI is a…

Q: Suppose that the prices of capital goods (goods purchased by firms as investment) rose. How would…

A: In an economy, capital goods at ethe goods that are produced and consumed for the long-run.

Q: The table shows employment statistics for a fictional country. Use the information to answer the…

A: The people who are willing and able to work but are not able to find a suitable job are known as…

Q: Watch the video and then solve the problem given below. Click here to watch the video. The following…

A: When an economy faces a continuous increase in the prices of all goods and services, it is said to…

Q: a) Using 2015 as the base year, compute the following statistics: nominal GDP, real GDP, and the…

A: Nominal GDP is the current market value of the goods abd services produced in the economy. Real GDP…

Q: The following plot show the monthly unemployment rate and vacancy rate in the US from January 2020…

A: The Diamond-Mortensen-Pissarides (DMP) framework is an economic structure used for investigating…

Q: What is the formula for the consumer price index in 2020?100* (cost of basket in 2020) / (cost of…

A: Consumer price index is used to compute the change in price over time by considering the market…

Q: Suppose that the nominal GDP in 2017 was $3,968 (in thousands) and 2018 is the base year. Now the…

A: GDP or gross domestic product can be defined as a metric that measures the market value of all the…

Q: Refer to the table below, which shows price data for a hypothetical economy, between which two years…

A: The Consumer Price Index or CPI in economics indicates or measures the change in price level through…

Q: the following table shows nominal GDP and an appropriate price index for a group of selected years.…

A: The Real GDP can be calculated by the given equation.

Q: Why is the Consumer Price Index likely more relevant to your own personal economic situation as…

A: For a product to be manufactured, cost is important and when cost is initiated, then process of…

Q: Does an increase in the price of imported Belgian chocolate affect the CPI or the GDP deflator more?…

A: GDP deflator reflects what is happening to the overall level of prices in the economy.

Q: ... ... Using the data In the table below related to nominal GDP and the chaln-welghted price…

A: GDP deflator = Nominal GDPReal GDP

Q: .The table below represents a simple economy. Refer to the table data to answer the questions that…

A: Price Index: A price index is a numerical measure that quantifies the relative changes in the prices…

Q: The GDP price index compares the price (or cost) of goods and services that make up GDP in a…

A: The nations have many entities in the form of consumers, households, producers, investors,…

Q: The following table shows nominal GDP and an appropriate price index for a group of selected years.…

A: Macroeconomics examines the working, composition, and dynamics of an economy. To comprehend and…

Q: The following table shows nominal GDP and an appropriate price index for a group of selected years.…

A: Real GDP = (Nominal GDP/Deflator)*100 If the Real GDP is greater than nominal, then it is inflating…

Q: Fruit prices and the amounts consumed for 2010 and 2018 are shown. Use 2010 as the base. Fruit…

A: Since an increase in the general price level is a broad definition of inflation, determining the…

Q: Suppose the CPI increased by 5 percent over each of the last 5 years while the GDP price index…

A: If CPI increased considerably,used goods or consumer goods prices increased to a greater extent…

Q: Calculate the nominal GDP for 2011. • Calculate the nominal GDP for 2012. • Calculate the nominal…

A: Nominal GDP is the product of current year price and current year quantity.  Nominal GDP includes…

Q: Suppose that the British economy produces two goods: laptops and books. The quantity produced and…

A: The year, quantities produced and prices are provided below.YearQuantities ProducedPrice2015Laptops…

Q: in January 2021, the working-age population of the United States was 260.9 million. The working-age…

A: 1. Unemployment Rate:   • Unemployed=10.1million   • LaborForce=160.2million   •…

Q: The following table contains prices for items consumed by a person over time. Year Price of…

A: here we calculate the Price index and calculate the inflation so the calculation of the following by…

Q: The classical dichotomy is the separation of real and nominal variables. The following questions…

A: Since you have posted multiple sub-parts, we are answering the first two for you. If you want a…

Q: Consider an economy that produces maize and bicycles. The following lable shows produ and price…

A: Gross domestic product (GDP) measures the market value of final goods and services produced within…

Q: U.S. population is 328 million people 70 million individuals are legally classified as unable to…

A: Labor force participation rate refers to the number of individuals who are actively working or…

Q: A country makes goods Y and Zin Years 1 and 2 at the quantities and prices shown below. The implicit…

A: To calculate the GDP at base prices for Year 1, we use the formula:GDP at base prices = Quantity *…

Q: E. Refer to the following data compiled by the US government for 2022 for purposes of calculating…

A: The summation of a country's goods and services is called its gross domestic product. GDP is an…

Q: The economy of Captiosus produces two goods: laptops and books. The quantity produced and the prices…

A: Gross domestic product measures the market value of final goods and services produced by a nation…

Q: 12. Complete the following table by calculating price index, real GDP, real GDP growth rate, and…

A: Nominal GDP is the value of goods and services calculated at the current year prices. Nominal GDP is…

Q: Consider an economy that produces and consumes bread and automobiles. The table includes data for…

A: Nominal GDP is that GDP which are measured on current year price level on the other Real GDP is that…

Q: The table below presents a brief summary of City A’s total spending, local GDP, and population…

A: Gross Domestic Product (GDP) measures the value of final goods and services produced within the…

Q: What is the diference between CPI and GDP deflator tracking? CPI tracks price changes in all…

A: Inflation is measured by the CPI.