Question
Suppose that in 1982 the total output in a single-good economy was 11,096 pizzas. Also suppose that in 1982 each pizza was priced at $5.
Suppose that in 1982 the total output in a single-good economy was 11,096 pizzas. Also suppose that in 1982 each pizza was priced at $5. Finally, assume that in 1998 the price per pizza was $20 and that 19,791 were purchased.
For each of the following parts, assume that1982 is the base year.
Note:Please round your answers to two decimal places.
a)Determine the GDP Deflator for 1998.
GDP Deflator =
b)Determine the percentage growth of real GDP, rose (or fell) between 1982 and 1998.
Note: Enter only the magnitude of the growth rate (positive value).
Percentage Growth of Real GDP =
c)Calculate the real GDP for 1982.
Real GDP = $
d)Calculate the real GDP for 1998.
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