. Calculate the real GDP for 2011. . Calculate the real GDP for 2012. • Calculate the real GDP for 2013.

Principles of Economics, 7th Edition (MindTap Course List)
7th Edition
ISBN:9781285165875
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter23: Measuring A Nation's Income
Section: Chapter Questions
Problem 4PA
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Please answer the three questions highlighted in the purple bracket

Suppose the information in the table is for a simple economy that produces and consumes only four goods and services: textbooks, hamburgers, shirts and cotton.
Base Year 2011
=
Product
Textbooks
90
Hamburgers 75
50
Shirts
Cotton
2011
Quantity Price Quantity
$50 100
2
100
50
800
100
30
0.80
• Calculate the nominal GDP for 2011.
• Calculate the nominal GDP for 2012.
. Calculate the nominal GDP for 2013.
. Calculate the real GDP for 2011.
. Calculate the real GDP for 2012.
. Calculate the real GDP for 2013.
2012
. Calculate the GDP deflator for 2012.
Price
$60
2
25
0.60
2013
Quantity
100
120
65
120
• Calculate the growth rate in real GDP for 2012. (usin 1 decimal place
• Calculate the growth rate in real GDP for 2013. (using 1 decimal place
• Calculate the cost of the market basket for 2011 (using 1 decimal place).
• Calculate the cost of the market basket for 2012 (using 1 decimal place).
• Calculate the cost of the market basket for 2013 (using 1 decimal place).
• Calculate the CPI for 2012 (using 1 decimal place).
• Calculate the CPI for 2013 (using 1 decimal place).
• Calculate the inflation rate for 2012 using the CPI (using 1 decimal place).
. Calculate the inflation rate for 2013 using the CPI (using 1 decimal place).
Calculate the GDD deflator for 2012 Cucina 1 dorimsliebe
Price
$65
2.25
25
10.70
%
%
%
%
L
Transcribed Image Text:Suppose the information in the table is for a simple economy that produces and consumes only four goods and services: textbooks, hamburgers, shirts and cotton. Base Year 2011 = Product Textbooks 90 Hamburgers 75 50 Shirts Cotton 2011 Quantity Price Quantity $50 100 2 100 50 800 100 30 0.80 • Calculate the nominal GDP for 2011. • Calculate the nominal GDP for 2012. . Calculate the nominal GDP for 2013. . Calculate the real GDP for 2011. . Calculate the real GDP for 2012. . Calculate the real GDP for 2013. 2012 . Calculate the GDP deflator for 2012. Price $60 2 25 0.60 2013 Quantity 100 120 65 120 • Calculate the growth rate in real GDP for 2012. (usin 1 decimal place • Calculate the growth rate in real GDP for 2013. (using 1 decimal place • Calculate the cost of the market basket for 2011 (using 1 decimal place). • Calculate the cost of the market basket for 2012 (using 1 decimal place). • Calculate the cost of the market basket for 2013 (using 1 decimal place). • Calculate the CPI for 2012 (using 1 decimal place). • Calculate the CPI for 2013 (using 1 decimal place). • Calculate the inflation rate for 2012 using the CPI (using 1 decimal place). . Calculate the inflation rate for 2013 using the CPI (using 1 decimal place). Calculate the GDD deflator for 2012 Cucina 1 dorimsliebe Price $65 2.25 25 10.70 % % % % L
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