Discuss how does the GDP relate to CPI, and how the GDP and CPI contribute to inflation. Write a short report with NO more than 400 words. You should relate the findings based on the line graphs of the GDP and CPI for Ethiopia and Germany, attached in the images.

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Chapter5: Measuring A Nation's Income
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Discuss how does the GDP relate to CPI, and how the GDP and CPI contribute to
inflation. Write a short report with NO more than 400 words. You should relate the findings based on the line graphs of the GDP and CPI for Ethiopia and Germany, attached in the images. 

GDP
GDP
GDP
1.2E+11
1E+11
8E+10
6E+10
4E+10
2E+10
0
4.5E+12
4E+12
3.5E+12
3E+12
2.5E+12
2E+12
1.5E+12
1E+12
SE+11
0
The GDP of Ethiopia from the Year 2002 to Year 2021
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Years
The GDP of Germany from the Year 2002 to Year 2021
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Years
Transcribed Image Text:GDP GDP GDP 1.2E+11 1E+11 8E+10 6E+10 4E+10 2E+10 0 4.5E+12 4E+12 3.5E+12 3E+12 2.5E+12 2E+12 1.5E+12 1E+12 SE+11 0 The GDP of Ethiopia from the Year 2002 to Year 2021 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Years The GDP of Germany from the Year 2002 to Year 2021 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Years
CPI
CPI
600
500
400
300
200
100
0
120
115
110
105
100
95
90
85
80
75
70
The CPI of Ethiopia from the Year 2002 to Year 2021
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Years
The CPI of Germany from the Year 2002 to Year 2021
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Years
Transcribed Image Text:CPI CPI 600 500 400 300 200 100 0 120 115 110 105 100 95 90 85 80 75 70 The CPI of Ethiopia from the Year 2002 to Year 2021 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Years The CPI of Germany from the Year 2002 to Year 2021 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Years
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