GDP Deflator and Inflation . Once we calculate the GDP deflator in at least two years, we can measure inflation () as GDP Deflator2 - GDP Deflator, TO = * 100% GDP Deflator1 . For reasons that will be explained in unit 11, this measure will under- report inflation EQUESTION 2 10 points Save Answer In order to save money on new stealth planes, the U.S. government purchases $100 million worth of steel from China. This transaction affects U.S. GDP through which of the following TWO (2) GDP accounts? O Consumption Investment Government Purchases O Net Exports QUESTION 3 10 points Save Answer Using the table below, calculate nominal GDP for 2018 Round your answer to two (2) decimal places 2016 2017 2018 P Q P Q P Q Apples $2.89 58 $2.32 58 $2.24 53 Oranges $1.76 40 $1.77 36 $1.94 49Example 2020 (base year) 2021 2022 P Q P Q P Q Ice cream $30 900 $31 1000 $36 1050 Apples $100 192 $102 200 $100 205 . Real GDP uses the base year prices . Real GDP = $30 * 1050 + $100 * 205 = $52,000 . Nominal GDP uses the prices from the same year . Nominal GDP = $36 * 1050 + $100 * 205 = $58,300 E