Calculate real gdp for this economy in 2003

Assignment Help Econometrics

Reference no: EM13203498

Nominal GDP uses current prices as a measure of the value of goods and services produced, while real GDP uses prices of goods and services in a base year to measure value.

Suppose an economy consists of three goods: pizza, sodas, and televisions. The table below provides the prices and quantities of these goods in 2000 and 2003.

Pizzas Sodas Television

Price in 2000 $15 $1.50 $200
Quantity in 2000 20 60 10

Price in 2003 $18 $1.75 $225
Quantity in 2003 25 80 20

1) Using the information provided in the table, calculate nominal GDP for this economy in 2003, assuming 2000 is the base year.

2)Using the information provided in the table, calculate real GDP for this economy in 2003, assuming 2000 is the base year.

Reference no: EM13203498

Questions Cloud

What is the current macroeconomic situation : What is the "current macroeconomic situation" in the U.S. (e.g. is the U.S. economy currently concerned about unemployment, inflation, recession, etc.) What fiscal policies and monetary policies would be appropriate at this time

State mario be sure the glass will fit the window : Mario broke a pane of glass in a window. The opening measured 7 1/4" by 9 1/2". At the hardware store, they sold him a pane of glass that was 7 1/4" by 9 1/2" to the nearest 1/4".

Find the length of each leg : The hypotenuse of a 30°-60°-90° triangle is shown below. Find the length of each leg. (Round your approximation of radical expression to the nearest hundredth).

Find a piecewise-defined function t : A certain country taxes the first $16,000 of an individual's income at a rate of 15%, and all income over $16,000 is taxed at 20%. Find a piecewise-defined function T that specifies the total tax on an income of x dollars.

Calculate real gdp for this economy in 2003 : Nominal GDP uses current prices as a measure of the value of goods and services produced, while real GDP uses prices of goods and services in a base year to measure value. Suppose an economy consists of three goods: pizza, sodas, and televisions.

Find the exact value of the solid formed : The region bounded by the curve Y=X³, the y-axis and the lines Y=1 and Y=8 is rotated through 360 degrees about the y-axis. Find the exact value of the solid formed.

What is the probability that the next ramdomly chosen score : What is the probability that the next ramdomly chosen score is less than 84? B) What score is the lowest score you can have and still

What is the length of the room : the length of a rectangle floor is 5 feet less than twice its width. the are of the floor is 150 swaure feet. what is the length of the room?

What is the area : the distance from base to base, home plate included, on a baseball field is 90 ft. the bases form a square. what is the area?

User Account

All Pages