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im not sure how to solve this question can you help ? Assume the following economy produces only iPhones and use the table on the
im not sure how to solve this question can you help ?
Assume the following economy produces only iPhones and use the table on the next page to answer the following questions. 1. For year 3. calculate the price index . nominal GDP. and real GDP. 2. If the change in quantity from year 2 to year 3 was due to an increase in Apple's inventory, would the real GDP actually increase? 3. Explain some of the reasons why real GDP might not be a good measure when comparing how well people are doing from one year to the next. Year 1 2 3 4 (I) Total iPhones (units of output) 25 45 (2) Price of iPhones $450 650 850 1100 (3) Price index 100 (4) Unadjusted or nominal GDP $11,250 (5) Adjusted or real GDP $11,250
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