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Suppose you have the following Price and Quantity data for 2013, 2014, and 2015. 2013 Quantity Price ($) Expenditure Cars 15 28000 Pizza Ovens 20
- Suppose you have the following Price and Quantity data for 2013, 2014, and 2015.
2013 | Quantity | Price ($) | Expenditure | |
Cars | 15 | 28000 | ||
Pizza Ovens | 20 | 400 | ||
Tanks | 5 | 300000 | ||
Nominal GDP | ||||
2014 | Quantity | Price | Expenditure | |
Cars | 12 | 25000 | ||
Pizza Ovens | 30 | 500 | ||
Tanks | 8 | 350000 | ||
Nominal GDP | ||||
2015 | Quantity | Price | Expenditure | |
Cars | 10 | 25000 | ||
Pizza Ovens | 18 | 500 | ||
Tanks | 3 | 320000 | ||
Nominal GDP | ||||
Quantity(2014) | Price (2013) | Expenditure | ||
Cars | 12 | 28000 | ||
Pizza Ovens | 30 | 400 | ||
Tanks | 8 | 300000 | ||
Real GDP 2014 | ||||
Quantity(2015) | Price(2013) | Expenditure | ||
Cars | 10 | 28000 | ||
Pizza Ovens | 18 | 400 | ||
Tanks | 3 | 300000 | ||
Real GDP 2015 |
Compute Nominal (Money) GDP and Real GDP (using 2013 Prices) for each year. Compute the GDP growth rate for 2014 and 2015. Would the GDP Growth Rate for 2014 be different if 2014 prices were used as base year prices?
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