ECON 2400 Lecture Notes - Lecture 1: Durable Good, List Of Countries By Real Gdp Growth Rate, Gdp Deflator

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lilachedgehog444

12 May 2016

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2001: suppose an economy produces only the 3 goods above, calculate the nominal gdp for both years. Calculate the nominal gdp growth rate from 2000 to 2001. Calculate the real gdp growth rate from 2000 to 2001. Calculate the corresponding inflation rate from 2000 to 2001: redo part (a) but use 2001 as the base year. Suppose consumers of the economy purchases all the bicycles and computers shown in the table (consumers have no other purchase and do not purchase aeroplanes). Calculate the corresponding inflation rate from 2000 to 2001. Redo the problem by setting 2001 as the base year. Suppose instead that the economy produces only aeroplanes and computers but bicycles are imported. The following is a national account for an economy in year 2003: 1480: calculate consumption, gross investment, government purchases, net. Exports and the gdp of the economy in 2003: suppose at the beginning of 2003, the economy has ,000 billions worth of physical capital stock.

Related Questions

The chart below gives prices and output information for the country of Utopia. Use this information to calculate real and nominal GDP for both years. Use 2001 as the base year.

Year	2000		2001
	Price	Quantity	Price	Quantity
Ice Cream	$7.00	600	$3.00	400
Blue Jeans	$70.00	20	$20.00	90
Laptops	$300.00	5	$300.00	5

2000 nominal GDP = $_________

2001 nominal GDP = $_________

2000 real GDP = $_________

2001 real GDP = $_________

pinkgerbil745

Consider an economy that produces and consumes bread and automobilies , In the following table are data for two different years

	YEAR 2000	YEAR 2000	YEAR 2010	YEAR 2010
GOOD	QUANTITY	PRICE	QUANTITY	PRICE
AUTOMOBILES	100	$50000	120	$60.000
BREAD	500.000	$10	400.000	$20

a)Using the year 2000 as the base year ,compute the following statistics for each year : nominal GDP ,real GDP ,the implicit price deflator for GDP ,and a fixed-weight price index such as the CPI

b)How much have prices risen between 2000 and 2010? Compare the answers given by the Laspeyres and Paasche price indexes. Explain the difference

c) Supopose you are a senator writing a bill to index Social Sewcurity and federal pensions. That is ,yout bill will adjust these benefits to offset changes in the cost of living. Will you use the GDP deflator or the CPI? Why?

Consider an economy that produces only chocolate bars. In year 1, the quantity produced is 3 bars and the price is $4. In year 2, the quantity produced is 4 bars and the price is $5. In year 3, the quantity produced is 5 bars and the price is $6.

Using year 1 as the base year, compute nominal GDP, real GDP, and the GDP deflator for each year.

Year	Nominal GDP	Real GDP	GDP Deflator
Year	(Dollars)	(Dollars)	GDP Deflator
Year 1
Year 2
Year 3

The percentage growth rate of real GDP from year 2 to year 3 is. ______%

The inflation rate as measured by the GDP deflator from year 2 to year 3 is. ______%

greentiger355

ECON 2400 Lecture Notes - Lecture 1: Durable Good, List Of Countries By Real Gdp Growth Rate, Gdp Deflator

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