Calculate the growth rate of real gdp per person

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Tropical Island produces only banana, mango and coconut. In the base year 2015, the Island produced 1,200 bunches of banana, 1,350 boxes of mango and 1,150 boxes of coconut. The prices were $4.2 for a bunch of banana, $6.5 for a box of mango and $5.5 for a box of coconut in 2015. However, in 2016, the Island produced 1,325 bunches of banana, 1,400 boxes of mango and 1,140 boxes of coconut, and the corresponding prices were $4.5 for a bunch of banana, $6.3 for a box of mango and $5.8 for a box of coconut. (i) Calculate Tropical Island's real GDP in 2015 and 2016 in terms of the base-year prices? (ii) Assume population of the Island was 30 people in 2015 and increased to 33 people in 2016. Calculate the growth rate of real GDP per person between 2015 and 2016 and interpret what it means.

Reference no: EM132026989

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