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The following table shows some data for an economy that produces only two goods: milk and honey. Year Milk Honey Price Quantity Price Quantity (Dollars)
The following table shows some data for an economy that produces only two goods: milk and honey.
Year | Milk | Honey | ||
---|---|---|---|---|
Price | Quantity | Price | Quantity | |
(Dollars) | (Quarts) | (Dollars) | (Quarts) | |
2020 | 1 | 150 | 2 | 100 |
2021 | 2 | 150 | 4 | 100 |
2022 | 2 | 300 | 4 | 200 |
The following table shows nominal GDP, real GDP, and the GDP deflator for each year listed.
Year | Nominal GDP | Real GDP | GDP Deflator |
---|---|---|---|
(Dollars) | (Dollars) | ||
2020 | 350 | 350 | 100 |
2021 | 700 | 350 | 200 |
2022 | 1,400 | 700 | 200 |
Compute the percentage change in nominal GDP, real GDP, and the GDP deflator in 2021 and 2022 from the preceding year.
Year | Percentage Change In... | ||
---|---|---|---|
Nominal GDP | Real GDP | GDP Deflator | |
2021 | |||
2022 |
From 2020 to 2021, did not change; and from 2021 to 2022, did not change.
Comparing the changes in 2021 and 2022, economic well-being increased more in .
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