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Production Prices Year 1 Year 3 Year 1 Year 3 Year 2 Year 2 Good X 50 50 60 $1.00 $1.20 $1.20 Good Y 100
Production Prices Year 1 Year 3 Year 1 Year 3 Year 2 Year 2 Good X 50 50 60 $1.00 $1.20 $1.20 Good Y 100 120 140 $0.60 $0.60 $1.00 Assume that this economy produces only two goods Good X and Good Y. If year 1 is the base year, the value for this economy's GDP deflator in year 2 is A. 84.5. B. 92.4. C. 105.0. D. 108.2
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