1. Suppose that the economy of Fruitopia produces two goods, apples and oranges, according to the following table: Quantity produced (in millions of bushels): Apples 30 Oranges 18 2020 2021 33 21 The prices of apples and oranges per bushel in Fruitopia are: Prices (in dollars per bushel): Apples 2 Oranges 4 2020 2021 3 a. Calculate nominal GDP in 2020 and 2021. b. Calculate real GDP in 2020 and 2021, with 2020 as the base year. c. Find the percentage growth of both nominal and real GDP from 2020 to 2021.

1. Suppose that the economy of Fruitopia produces two goods, apples and oranges, according to the following table: Quantity produced (in millions of bushels): Apples 30 Oranges 18 2020 2021 33 21 The prices of apples and oranges per bushel in Fruitopia are: Prices (in dollars per bushel): Apples 2 Oranges 4 2020 2021 3 a. Calculate nominal GDP in 2020 and 2021. b. Calculate real GDP in 2020 and 2021, with 2020 as the base year. c. Find the percentage growth of both nominal and real GDP from 2020 to 2021.

Principles of Macroeconomics (MindTap Course List)

7th Edition

ISBN:9781285165912

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter11: Measuring The Cost Of Living

Section: Chapter Questions

Problem 3PA

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