Nominal value of goods is the value of goods in terms of the monetary value. In this instance, Alejandra is multiplying the number of goods by the price.Since quantity and prices of the same year are used, Alegendra is calculating the nominal value. The answer is the nondurable goods nominal values.
Alejandra is calculating the nondurable goods value for 2017. She is calculating the value by using...
Alejandra is Calculating the nondurable goods value for 2017. She is calculating the value by using the quantity of each final nondurable goods produced in 2017, multiplied by the price at which the nondurable goods were sold in 2017. What type of calculation is Alejandra creating? The nondurable goods nominal values. The nondurable goods nominal and real values. The nondurable goods real values Gross Domestic Product (GDP) is designed to measure: a nation’s total imports of final goods and services...
Bob is measuring the GDP in 2018 by using the quantity of each final good and service produced in 2018, multiplied by the price at which the goods and services were sold in 2018. What type of calculation is Bob creating? The GDP using real values. The GDP using both nominal and real values. The GDP using nominal values. Of the following statements, which describes macroeconomy? Retail stores have been in decline due to the online retail business growth. The...
Question 11 44 pts Assume that an
economy produces only three goods; Computers, cars, and pizza. Table 1
gives the price and quantity for each good and the number of employed
and unemployed individuals for the years 2017-2020. Table 2 gives the
fixed basket used for calculating the CPI. Assume that the base year is
2018! Table 1 - Price and Quantity of Goods Sold in 2017-2020 2017 2018
2019 2020 Р Q 20 Q 15 Computers Р $400/unit $18,000/unit...
Question 2 only
services the market value of all goods and services consumed within the count goods and services the total value-added by all producers operating within the coun b) and households on domestically produced final d) The following data is for country A, which produces only guns and bu 2013 2014 Quantity Price Price 3 $2 each. Guns Butter 2 kg 4k Using 2013 as the base year, which of the following is correct? a) Between 2013 and2014, country...
7. The difference between nominal Gross Domestic Product and real Gross Domestic Product a.is that nominal Gross Domestic Product includes only the values of final goods and services, while real Gross Domestic Product includes the values of both final and intermediate goods and services. b. is that real Gross Domestic Product includes the value of all goods sold in the country (whenever they were produced) during the period, while nominal Gross Domestic Product includes the value of all goods produced...
Recall the method of calculating real GDP detailed in the chapter. As you may already have noticed, this method has a problem: in calculating aggregate output, this method weights the output of the various goods and services by their relative prices in the base year. Say, for example, a textbook costs $100 in the base year, and a laptop costs $2,000. This means that the laptop would have 20 times the weight of a book in calculating aggregate output. But what happens when relative prices change? As you know,...
4. Real Versus Nominal GDP Aa Aa Consider a simple economy that produces two goods: cupcakes and muffins. The following table shows the prices and quantities for the goods over a three-year period. Prices and Quantities Price of Quantity of Price of cupcakes (6) cupcakes muffins (C) 150 2 2003 200 Quantity of muffins Year 2016 2017 2018 100 150 100 Use the information from the previous table to fill in the following table. Real GDP (Base year 2016) (C)...
Inflation Names GDP DEFLATOR (IMPLICIT PRICE INDEX) price in 2015 quantity in 2015 goods Café Mochas police salaries imported computer price in 201 (dollars) 3.10 10,000 quantity in 2017 (dollars) 3.00 9,500 tin millions) in millions) 6.50 4.5 software Aspen Bay candles coal (used by electric 10 60 12 700 15 775 18 utility plants) Shoes Doritos 35 10 40 12 50 NOMINAL AND REAL GDP Calculate the nominal GDP for 2017. (remember the exceptions in calculating GDP) Calculate the...
DO #1
Real GDP is intended to measure the real value of goods and
services produced, not the stock of money, or the balance in your
bank account, or whether you are in debt or not. To do this, we may
use information on total expenditures - measured in dollars - but
the purpose is always to recover an index of real output. For this
homework, you need the following information to calculate real GDP
over several periods. First, you...
DO#3
Real GDP is intended to measure the real value of goods and
services produced, not the stock of money, or the balance in your
bank account, or whether you are in debt or not. To do this, we may
use information on total expenditures - measured in dollars - but
the purpose is always to recover an index of real output. For this
homework, you need the following information to calculate real GDP
over several periods. First, you know...