eeconomics questions

An economy produces only the three goods below. Prices and quantities for 2016 and 2017 are as follows: Computers Using the prices for 2017 as the set of common prices, by what percentage does nominal GDP change from 2016 to 2017? Answer: An economy produces only the three goods below. rices and quantities for 2016 and 2017 are as follows: Computers What is the real GDP for 2016, using 2016 as the base year? Answer: Suppose that you are provided with the following information Prices Butter Cars Oil Quantities Butter Cars Oil 2003 1.0 500 100 2003 500 300 700 2004 1.0 550 150 2004 500 350 750 2005 1.2 600 140 2005 480 400 770 What is the GDP Deflator for 2004 (expressed as in index form, i.e. (Nominal GDP)/(Real GDP) x 100). Assume 2003 a s the base year. Answer:An economy has the following sectors: households, our producers and bread producers. The our producers pay their workers 250 and sell 170 of flour to the bread makers and a further 120 to nal consumers. The bread makers pay their workers 200. The bread is then sold, with 360 worth of bread going to domestic consumers and a further 120 sold to foreign countries. Calculate the GDP level using any of the three different nationalaccounting methods. Answer: Suppose nominal GDP increased in a given year. Based on this information, we know with certainty that: Select one: O a. the price level (GDP deflator) has increased O b. real output has increased and the price level has decreased O c. real output and the price level (GDP deflator) have both increased O d. either real output or the price level (GDP deflator) has increased O e. real output has increasedSuppose the consumption equation is represented by the following: C = 250 + 0.75YD. Given this information, the marginal propensity to save is Select one: Q a. 0.75 O b. 0.25 O c. 1 Q d. 4 0 e. 1.25 CHOOSE ALL THAT APPLY: Suppose the marginal propensity to consume equals 0.8 (i.e., c1 = 0.8). Given this information, which of the following events will cause the largest increase in output? Select one or more: :] a. Public spending, G, increases by 200 :J b. Taxes, T, decrease by 200 j c. real GDP was larger than nominal GDP from 2002 to 2008 Public spending, G, increases by 150 j d. Investment, |, increases by 150