Suppose the information in the table is for a simple economy that produces and consumes only four goods and services: textbooks, hamburgers, shirts and cotton. Base Year 2011 2011 2012 2013 Product Quantity Price Quantity Price Quantity Price Textbooks 90 $50 100 $60 100 $65 Hamburgers 75 2 100 2 120 2.25 Shirts 50 30 50 25 65 25 Cotton 100 0.80 800 0.60 120 Please enter only the numbers (no commas, dollar signs etc.) in the spaces provided. 0.70 • Calculate the cost of the market basket for 2012 (using 1 decimal place). • Calculate the cost of the market basket for 2013 (using 1 decimal place). • Calculate the CPI for 2012 (using 1 decimal place). • Calculate the CPI for 2013 (using 1 decimal place). • Calculate the inflation rate for 2012 using the CPI (using 1 decimal place). % • Calculate the inflation rate for 2013 using the CPI (using 1 decimal place). % • Calculate the GDP deflator for 2012. ● Calculate the GDP deflator for 2013 (using 1 decimal place).

Suppose the information in the table is for a simple economy that produces and consumes only four goods and services: textbooks, hamburgers, shirts and cotton. Base Year 2011 2011 2012 2013 Product Quantity Price Quantity Price Quantity Price Textbooks 90 $50 100 $60 100 $65 Hamburgers 75 2 100 2 120 2.25 Shirts 50 30 50 25 65 25 Cotton 100 0.80 800 0.60 120 Please enter only the numbers (no commas, dollar signs etc.) in the spaces provided. 0.70 • Calculate the cost of the market basket for 2012 (using 1 decimal place). • Calculate the cost of the market basket for 2013 (using 1 decimal place). • Calculate the CPI for 2012 (using 1 decimal place). • Calculate the CPI for 2013 (using 1 decimal place). • Calculate the inflation rate for 2012 using the CPI (using 1 decimal place). % • Calculate the inflation rate for 2013 using the CPI (using 1 decimal place). % • Calculate the GDP deflator for 2012. ● Calculate the GDP deflator for 2013 (using 1 decimal place).

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter2: Thinking Like An Economist

Section: Chapter Questions

Problem 4PA

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