Imagine that 20 years ago a small country Z had a nominal GDP of $3,000,000, a G

ID: 1102924 • Letter: I

Question

Imagine that 20 years ago a small country Z had a nominal GDP of $3,000,000, a GDP deflator of 300, and a population of 1000. Today it has a nominal GDP of $3,500,000, a GDP deflator of 320, and population of 1500. What happened to the real GDP per person?

a It more than doubled. Question 18 1 pts Table 1 The table below contains data for the country of Sweetland, which produces only chocolate and sponge cake. The base year is 2009 Prices and Quantities Year Price of a bar of chocolate $3.00 $2.50 $3.00 $4.00 Quantity of chocolate (in bars) Quantity of sponge cakes 900 1230 1560 1300 Price of 1 sponge cake 2009 2010 2011 2012 1050 1200 1450 1800 $2.50 $3.50 $4.00 $5.50 Refer to Table 1. In 2011, this country's real GDP was O $8,305 $8,250 O $10,590 O $3,017

Explanation / Answer

real GDP 20 years ago=3000000/300*100=1000000

real GDP per person 20 years ago=10000/1000=1000

Real GDP today=3500000/320*100=1093750

real GDP per person today=1093750/1500=729

It decreased. as shown above is the answer

18.

real GDP 2011=3*1450+2.50*1560=8250

the above is answer

19.

rate of output growth

=(3*1450+2.50*1560)/(3*1200+2.50*1230)-1

=23.59%

17.

real GDP in 2010

=3*1200+2.50*1230

=6675

the above is the answer