1. The island of Sushia produces fish, rice and saki. Here are the data on prices andquantities of the three goods in the years 2017 and 2022.FishYear Quantity20174002022500Price57RiceQuantity400500Price22SakiQuantity200400Price23a) What is nominal GDP for 2017 and 2022? What is nominal GDP growth?b) Assume 2017 is the base year. What is real GDP for 2017 and 2022? What is real GDPgrowth?c) Find the implicit price deflator for 2017 and 2022. What is the inflation rate between2017 and 2022?

Gross domestic product (GDP) measures the market value of final goods and services produced by a…

The island of Sushia produces fish, rice and saki. Here are the data on prices and quantities of the three goods in the years 2017 and 2022. Fish Year Quantity 2017 400 2022 500 Price 5 7 Rice Quantity 400 500 Price 2 2 Saki Quantity 200 400 Price 2 3

The island of Sushia produces fish, rice and saki. Here are the data on prices and quantities of the three goods in the years 2017 and 2022. Fish Year Quantity 2017 400 2022 500 Price 5 7 Rice Quantity 400 500 Price 2 2 Saki Quantity 200 400 Price 2 3

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter23: Measuring A Nation's Income

Section: Chapter Questions

Problem 4PA

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Question

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1. The island of Sushia produces fish, rice and saki. Here are the data on prices and
quantities of the three goods in the years 2017 and 2022.
Fish
Year Quantity
2017
400
2022
500
Price
5
7
Rice
Quantity
400
500
Price
2
2
Saki
Quantity
200
400
Price
2
3
a) What is nominal GDP for 2017 and 2022? What is nominal GDP growth?
b) Assume 2017 is the base year. What is real GDP for 2017 and 2022? What is real GDP
growth?
c) Find the implicit price deflator for 2017 and 2022. What is the inflation rate between
2017 and 2022?

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