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Use following data to answer following questions. A country produces only bananas and coconuts. The base year is 2013. Quantities Bananas Coconuts 2013 800 bunches
Use following data to answer following questions.
A country produces only bananas and coconuts. The base year is 2013.
Quantities
Bananas
Coconuts
2013
800 bunches
400 bunches
2014
900 bunches
500 bunches
Prices
Bananas
Coconuts
2013
$4 a bunch
$5 a bunch
2014
$2 a bunch
$10 a bunch
i. Calculate the nominal GDP in 2013 and 2014.
ii. Calculate real GDP in 2013 and 2014.
iii. Calculate chained-dollar real GDP in 2014 expressed in 2013 dollar.
iv. Calculate growth rate of real GDP from year 2013 to 2014.
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