ZuoTi.Pro
Question

Suppose that a 1984 the total output in a single good economy was 7000 buckets of...

Suppose that a 1984 the total output in a single good economy was 7000 buckets of chicken also suppose that 1984 each bucket of chicken was priced at $10 finally assume that in 2005 the price at per bucket of chicken with $16 that 22000 buckets of chickens were produced by what percentage did the price level as measured by this index rise between 1984 and 2005

business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Answer - 2008 is the base year

Price in base year = $10

Price in current year = $ 16

Quantity in base year = 18000

Cost of basket in base year = 18000*10

= $ 180000

Cost of same basket as per CY price = 18000*16

= $ 288000

Price index = 288000/180000*100

= 160 %

This means that the prices rose by 60 percent as compared to 2008

0 0
Add a comment
Know the answer?
Add Answer to:
Suppose that a 1984 the total output in a single good economy was 7000 buckets of...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Suppose that in 1984 the total output in a single good economy was 7000 buckets of...

    Suppose that in 1984 the total output in a single good economy was 7000 buckets of chicken also suppose that 1984 each bucket of chicken was priced at $10 finally assume that in 2005 the price per bucket of chicken was $16 that 22000 buckets were produced what were the amount of real GDP in 1984 and 2005

  • Problem 27-6 (Algo) Suppose that in 1984 the total output in a single-good economy was 10,000...

    Problem 27-6 (Algo) Suppose that in 1984 the total output in a single-good economy was 10,000 buckets of chicken. Also assume that in 1984 each bucket of chicken was priced at $15. Finally, assume that in 2005 the price per bucket of chicken was $20 and that 22,000 buckets were produced. Instructions: In part a, enter your answer as an index number rounded to 1 decimal place. In parts b-c, enter your answers as whole numbers. a. What is the...

  • Help! Please give me an explanation as well The following table shows nominal GDP and an...

    Help! Please give me an explanation as well The following table shows nominal GDP and an appropriate price index for a group of selected years. Compute real GDP. (Enter your responses rounded to one decimal place.) Nominal GDP Real GDP (Billions of dollars Year (Billions of dollars Price Index 2000 2004 2008 2012 2015 $10,284.8 $12,274.9 $14,718.6 $16,155.3 $18,036.6 81.9 89.1 99.2 105.2 110.0 Suppose that in Year 1 the total output in a single-good economy was 7,500 buckets of...

  • 2. Suppose the following table records the total output and prices for an entire economy. Further,...

    2. Suppose the following table records the total output and prices for an entire economy. Further, suppose the base year in the following table is 2004. Quantity of Jeans Year 2004 2005 Price of Soda €1.00 1.00 Quantity of Soda 200 220 Price of Jeans €10.00 11.00 a. What is the value of nominal GDP in 2004? Answer: b. What is the value of real GDP in 2004? Answer: c. What is the value of nominal GDP in 2005? Answer:...

  • 2. Suppose the following table records the total output and prices for an entire economy. Further,...

    2. Suppose the following table records the total output and prices for an entire economy. Further, suppose the base year in the following table is 2004. Price of Soda Quantity of Soda Quantity of Jeans Year 2004 2005 Price of Jeans €10.00 11.00 €1.00 1.00 220 a. What is the value of nominal GDP in 2004? Answer: b. What is the value of real GOP in 2004? Answer: What is the value of nominal GDP in 2005? Answer: d. What...

  • 2. Suppose the following table records the total output and prices for an entire economy. Further,...

    2. Suppose the following table records the total output and prices for an entire economy. Further, suppose the base year in the following table is 2004. Quantity of Soda Quantity of Jeans Year 2004 2005 Price of Soda €1.00 1.00 Price of Jeans €10.00 11.00 a. What is the value of nominal GDP in 2004? Answer: b. What is the value of real GDP in 2004? Answer: c. What is the value of nominal GDP in 2005? Answer: d. What...

  • Consider an economy that produces and consumes hot dogs and hamburgers

    LounchPod • Consider an economy that produces and consumes hot dogs and hamburgers. In the following table are data for two different years. a. Using 2010 as the base year, compute the following statistics for each year: nominal GDP, real GDP, the implicit price deflator for GDP, and a fixed-weight price index such as the CPI. b. By what percentage did prices rise between 2010 and 2015? Give the answer for each good and also for the two measures of the overall...

  • 7. LounchPad . Consider an economy that produces and consumes hot dogs and ham- burgers. In...

    7. LounchPad . Consider an economy that produces and consumes hot dogs and ham- burgers. In the following table are data for two different years 2013 2015 Good Hot dogs Hamburgers Quantity Quantity Price 250 $4 500 $4 200 $$2 200 $3 a. Using 2010 as the base year, compute the following statistics for each year: nominal GDP, real GDP, the implicit price deflator for GDP, and a fixed-weight price index such as the CPI. b. By what percentage did...

  • Suppose that an economy is characterized by M= $9 trillion V=2 P= base index = 1.0...

    Suppose that an economy is characterized by M= $9 trillion V=2 P= base index = 1.0 Instructions: Enter your responses rounded to two decimal places (do not include a negative sign (-) with your answers). a. What is the real value of output (Q)? $D 18 trillion Now assume that the Fed increases the money supply by 20 percent and velocity remains unchanged. b. If the price level remains constant, by how much will real output increase? c. If, instead, real output is fixed...

  • Suppose that an economy is characterized by M-$10 trillion V- 1.8 P-base index 1.0 nstructions: E...

    Please only answer if 100% sure I keep getting incorrect responsesSuppose that an economy is characterized by M-$10 trillion V- 1.8 P-base index 1.0 Instructions: Enter your responses rounded to two decimal places (do not include a negative sign ()with your answers). a. What is the real value of output (Q)? $18 trillion Now assume that the Fed increases the money supply by 20 percent and velocity remains unchanged b. If the price level remains constant, by how much will real output increase? c....

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT