Question 4 (a) The table below shows the values of several activities in an economy for the years 2020 and 2021, measured in millions of current year dollars: Item Personal consumption expenditures Gross private domestic investment Construction of new houses 2020 2021 1,800 1,850 2,500 2,600 800 850 Government expenditures on goods and services 1,600 1,630 Purchase of existing houses 1,200 1,350 Inventories at beginning of year 1,020 860 Inventories at end of year 860 1,150 Export of goods and services 5,000 5,300 Import of goods and services 9,000 9,200 Transfer payments 2,200 2,500 Measure the nominal GDP in 2020 and 2021, and also the nominal GDP growth rate between 2020 and 2021. Given that the GDP deflator is 104 in 2020 and 109 in 2021, measure the real GDP in 2020 and 2021 and also the real GDP growth rate between 2020 and 2021. Can you conclude that the well-being of the residents of the economy has improved from 2020 to 2021? (15 marks)