a. Compute the percentage change in nominal GDP, real GDP, and GDP deflator in 2020 and 2021 from the preceding year. For each year, identify the variable that does not change. Explain in words why your answer makes sense. 

b. Did economic well-being rise more in 2020 or 2021? Explain. 

 

Below are some data from the land of rice and squash: Price of Squash Quantity of Squash 50 qts. Price of Rice Quantity of Rice 100 qts. $1 $1 $2 $2 $2 $4 2019 2020 200 100 2021 200 100