Suppose that a simple economy produces only four goods and services: cars, homes, cheeseburgers and cheese. Assume all of the cheese are used in the production of the cheeseburgers. Also assume that Year 1 is the base year. The GDP deflator in year 2 is Quantity (Year 1) 50 Quantity (Year Price (Year 1) 25 100 Price (Year 2) 30 15 150 75 3 EITTT Product Cars Homes Cheeseburgers 100 50 Cheese 30 Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a 105.8 b 95.4 C 177.2 d 125.7

Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter15: Measuring A Nation's Income
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== Question 27
Σ
Suppose that a simple economy produces
only four goods and services: cars, homes,
cheeseburgers and cheese. Assume all of the
cheese are used in the production of the
cheeseburgers. Also assume that Year 1 is the
base year.
The GDP deflator in year 2 is
Product
Quantity
(Year 1)
Quantity (Year
Price (Year 1)
Price (Year 2)
Cars
Homes
Cheeseburgers
50
25
100
30
10
100
30
50
150
6
50
1
75
3
ETTTT
Cheese
Selected answer will be automatically saved. For keyboard navigation, press up/down arrow
keys to select an answer.
a
105.8
b
95.4
C
177.2
d
125.7
Transcribed Image Text:== Question 27 Σ Suppose that a simple economy produces only four goods and services: cars, homes, cheeseburgers and cheese. Assume all of the cheese are used in the production of the cheeseburgers. Also assume that Year 1 is the base year. The GDP deflator in year 2 is Product Quantity (Year 1) Quantity (Year Price (Year 1) Price (Year 2) Cars Homes Cheeseburgers 50 25 100 30 10 100 30 50 150 6 50 1 75 3 ETTTT Cheese Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a 105.8 b 95.4 C 177.2 d 125.7
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