Assume an economy in which there are twoproducers: a wheat producer and a bread producer. In a givenyear, the wheat producer grows 2 million tonnes ofwheat, of which 1.5 million tonnes are sold to the bread producer at $30 per tonne and 0.5 million tonnes are stored by the wheat producer to use as seed for nextyear's crop. The bread producer produces and sells 300 million loaves of bread to consumers for $2.50 per loaf. Determine GDP

in this economy during this year by using the product

and expenditure

approaches.

Using the productapproach, the value added

by the wheat producer is $

million, the value added by the bread producer is $

million, and GDP in this economy is $

million.

Using the expenditureapproach, C=$

million, I=$

million, G=$

million, NX=$

million, and GDP in this economy is $

million.