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2. GDP and CPI (30) a. For each good mark whether it would be counted in GDP, CPI, or neither. If it belongs to GDP
2. GDP and CPI (30) a. For each good mark whether it would be counted in GDP, CPI, or neither. If it belongs to GDP write which component of GDP it would be considered. And if it is not included in one or both, explain why it should be excluded. b. Explain how to find the inflation rate using annual output and price data. c. Explain how to find the inflation rate using annual price data for certain items. d. Comment on why the CPI and GDP quantities should have different units. e. Explain why we use real GDP for comparing output over time instead of nominal GDP
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