(For the next eight questions, use the following table) Consider a three-good economy, in which quarts of ice cream, bottles of shampoo, and jars of peanut butter are being produced. The quantities produced and prices of these three goods in different years are listed in the following table. Use year 2014 as the base year in your computations. (You can use the allocated spaces in the empty cells of the below table to put the results of your calculations there if you need.) Ice Cream (quarts) Shampoo (bottles) Peanut Butter (jars) Year P Q P Q P Q Nom GDP Real GDP GDP Deflator 2014 $12 400 $3.00 100 $2.00 200 2015 $13 500 $4.00 110 $2.50 220 2016 $14 600 $4.50 115 $1.90 190 Question 18: How much is the Nominal GDP in 2014? a. $5500 b. $6770 c. $7490 d. $7925 e. $9278 f. $11064 Question 19: How much is the Real GDP in 2015? a. $5500 b. $6770 c. $7490 d. $7925 e. $9278 f. $11064 Question 20: How much is the GDP Deflator in 2016? a. 1 b. 100 c. 11070 d. 110.70 e. 11710 f. 117.10 8 Question 21: Which one of the following rates is the percentage change in the Nominal GDP from 2015 to 2016? a. 53.2% b. 32.6% c. 23.8% d. 36.2% e. 42.2% f. 28.1% Question 22: Which of the following rates indicates the (Real) Economic Growth Rate (i.e. the percentage change in the real GDP) from 2014 to 2015? a. 63.2% b. 32.6% c. 23.1% d. 36.2% e. 136.2% f. 32.1% Question 23: Which of the following rates is the GDP-Deflator-Based Inflation Rate from 2015 to 2016? a. 115.8% b. 8.5% c. 5.8% d. 10.6% e. 110.6% f. 117.1% Note: Now, suppose that the Bureau of Labor Statistics (BLS) has selected the good basket of {3 quarts of ice cream, 4 bottles of shampoo, and 2 jars of peanut butter} as the fixed CPI basket for its computations of inflation with the same base year of 2014. Question 24: Which of the following values shows the CPI for 2015? a. 60 b. 115.3 c. 52 d. 100 e. 110.6 f. 122.7 9 Question 25: How much is the CPI-Based Inflation Rate from 2015 to 2016? a. 8.5% b. 2.2% c. 4.6% d. 115.6% e. 106.0% f. 6.3% Question 26: Consider the following event. The price of tomatoes imported from Mexico to the US decreases. Which one of the following statements indicates the effects of the described price change on the CPI and the GDP Deflator? a. The CPI rises and GDP Deflator rises. b. The CPI falls and GDP Deflator stays unchanged. c. The CPI rises and GDP Deflator stays unchanged. d. The CPI falls and GDP Deflator rises. e. The CPI falls and GDP Deflator falls. f. The CPI stays unchanged and GDP Deflator falls