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Suppose that in the simple Australian economy three goods are produced: beds, pillows and sheets. The quantities produced and their corresponding prices for 2011 and 2012 are shown in the following table. What is real GDP in 2012, using 2011 as a base year?
2011
2012
Quantity
Price
Beds
50
$100
45
$110
Pillows
200
$40
210
$45
Sheets
100
$10
120
$12
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