For all parts of this question, show your work as well as your solution in the textbox below.

a.DesertKingdomproduces only sand and camel rides. The base year is 2003, and thetable give the quantities produced and the prices.

Calculate Real GDP for Desert Kingdom in 2004.(2)

b. In Southland, there are three consumption goods: bananas, coconuts and grapes. In Southland, the typical basket of urban consumption goods has costs as follows:

Calculate the CPI for the current period. (2)

c.Consider the following information about the Widgetarian economy:

• Working-Age Population - 20 million
• Full-Time Employment - 8 million
• Population - 22 million
• Part-Time Employment - 2 million (1 million of whom wish they had full-time)
• Unemployment - 1 million

What is the labour force participation rate? (1)

What is the unemployment rate? (1)