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Question 1. Consider the following table: Year 2019 2018 Price of an automobile $40000 $40500 Quantity of automobile 110 120 Price of a loaf of
Question 1. Consider the following table: Year 2019 2018 Price of an automobile $40000 $40500 Quantity of automobile 110 120 Price of a loaf of bread $2.5 $2 Quantity of bread 30050 300000 Price of T-Shirt $21 $20 Quantity of T-Shirt 2500 2400 a.) (4 Points) Suppose an economy produces and consumes three goods: automobiles, bread and T-Shirt. Using the year 2018 as the base year, compute the following statistics for each year: nominal GDP and real GDP. b.) (6 Points) Calculate GDP deflator for each year and inflation of 2019
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