Suppose that in 1994 the total output in a single-good economy was 10,000 buckets of chicken. Also suppose that in 1994 each bucket of chicken was priced at $10. Finally, assume that in 2015 the price per bucket of chicken was $20 and that 25,000 buckets were produced. Instructions: In parts a-b, enter your answer rounded to 1 decimal place. In part c, enter your answers as a whole number. a. What is the GDP price index for 1994, using 2015 as the base year? 62.5 x b. What were the amounts of real GDP in 1994 and 2015? In 1994, real GDP = $ 100000 x In 2015, real GDP = $ 352000
Suppose that in 1994 the total output in a single-good economy was 10,000 buckets of chicken. Also suppose that in 1994 each bucket of chicken was priced at $10. Finally, assume that in 2015 the price per bucket of chicken was $20 and that 25,000 buckets were produced. Instructions: In parts a-b, enter your answer rounded to 1 decimal place. In part c, enter your answers as a whole number. a. What is the GDP price index for 1994, using 2015 as the base year? 62.5 x b. What were the amounts of real GDP in 1994 and 2015? In 1994, real GDP = $ 100000 x In 2015, real GDP = $ 352000
Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter7: Taking The Nation's Economic Pulse
Section: Chapter Questions
Problem 4CQ
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Transcribed Image Text:Suppose that in 1994 the total output in a single-good economy was 10,000 buckets of chicken. Also suppose that in 1994 each bucket
of chicken was priced at $10. Finally, assume that in 2015 the price per bucket of chicken was $20 and that 25,000 buckets were
produced.
Instructions: In parts a-b, enter your answer rounded to 1 decimal place. In part c, enter your answers as a whole number.
a. What is the GDP price index for 1994, using 2015 as the base year?
62.5 x
b. What were the amounts of real GDP in 1994 and 2015?
In 1994, real GDP = $ 100000 x
In 2015, real GDP = $ 352000
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