Year 1 Cereal 1,000 $1.00 Beef 700 $2.00 Doughnuts 600 $0.50   Year 2 Cereal 1,400 $1.10 Beef 600 $2.50 Doughnuts 500 $0.75 If year 1 is the base year, what is the GDP delflator in year 2?

Calculate median income in 2000 (real) dollars for each of the 3 years. Suppose GDP in current (nominal) dollars and the GDP price index for the United States are as follows: Year 1990 2000 2005 GDP in current dollars (trillions) 6.0 10.0 15.0 Calculate GDP in 2005 (real) dollars for each of the 3 years. Price index [2000=100] 80 100 125

Gross Domestic Product  If nominal GDP in 1975 was $1699.9 billion and the GDP deflator (price index) was 100, what is the value of real GDP in 1975?

For the next 6 questions, suppose that a simple economy produces only four goods and services: cars, homes, cheeseburgers and cheese. Assume all of the cheese are used in the production of the cheeseburgers. Also assume that Year 1 is the base year. The information used to answer the next 6 questions is below: Quantity (Year Product Quantity (Year 1) Price (Year 1) Price (Year 2) 2) Cars 50 25 100 30 Homes 10 30 15 50 Cheeseburgers 100 5 150 6 Cheese 50 1 75 3