Problem 1: (15 points) State whether each of the following statements are \"True\" or \"False\" and Explain why. a. \"Nominal GDP grth rate is used by economists to assess how fast production in the economy is growing.\" (5 points) b. \"The government budget decit is given as (G+TA-TR).\" (5 points) 0. \"All housing expenditures, including new housing construction are counted as consumption spending.\" (5 points) Problem 2: (8 points) The typical household in nation X buys 4 loaves of bread, 3 pounds of cheese & 8 books each week. The prices of these goods in years 2015, 2016 & 2017 are given in the table below: Year Price of a loaf of bread Price of a mum! of cheese Price of a book $2 _ $3 $6 $25 2017 (a) Calculate CPI in 2017, using 2016 as the base year. (2 points) (b) Calculate CPI in 2015, using 2016 as the base year. (2 points) (0) Calculate rate of ination between 2015 & 2016. (2 points) (d) Calculate rate of ination between 2016 & 2017. (2 points)