part B Q4. Gorgonzola is a small island nation with a simple economy that produces only six goods: sugarcane, yo-yos, rum, peanuts, harmonicas, and peanut butter. Assume that one- quarter of all the sugarcane is used to produce rum and one- half of all the peanuts are used to produce peanut butter.2015Quantity Price Quantity Price Quantity Price20132014ProductSugar caneYo-yos240s0.80240S1.00300S1.156002.507003.007504.00Rum15010.0016012.0018015.00Peanutss002.004502.504502.50Harmonicas7525.007530.008530.00Peanut butter1004.50854.50855.00a. Use the production and price information in the table to calculate nominal GDP for 2015.b. Use the production and price information in the table to calculate real GDP for 2013, 2014, and2015 using 2013 as the base year. What is the growth rate of real GDP from 2013 to 2014 andfrom 2014 to 2015?c. Use the production and price information in the table to calculate real GDP for 2013, 2014, and2015 using 2014 as the base year. What is the growth rate of real GDP from 2013 to 2014 and from2014 to 2015?

4) b) Given the production information, it is known that one-quarter of sugar is used to make rum…

Q4. Gorgonzola is a small island nation with a simple economy that produces only sıx goods: sugar cane, yo-yos, rum, peanuts, harmonicas, and peanut butter. Assume that one- quarter of all the sugar cane is used to produce rum and one- half of all the peanuts are used to produce peanut butter. 2013 2014 2015 Product Quantity Price Quantity Price Quantity Price Sugar cane Yo-yos 240 s0.80 240 S1.00 300 $1.15 600 2.50 700 3.00 750 4.00 Rum 150 10.00 160 12.00 180 15.00 Peanuts s00 2.00 450 2.50 450 2.50 Harmonicas 75 25.00 4.50 75 30.00 85 30.00 Peanut butter 100 85 4.50 85 5.00 a. Use the production and price information in the table to calculate nominal GDP for 2015. b. Use the production and price information in the table to calculate real GDP for 2013, 2014, and 2015 using 2013 as the base year. What is the growth rate of real GDP from 2013 to 2014 and from 2014 to 2015? c. Use the production and price information in the table to calculate real GDP for 2013, 2014, and 2015 using 2014 as the base year. What is the growth rate of real GDP from 2013 to 2014 and from 2014 to 2015?

Q4. Gorgonzola is a small island nation with a simple economy that produces only sıx goods: sugar cane, yo-yos, rum, peanuts, harmonicas, and peanut butter. Assume that one- quarter of all the sugar cane is used to produce rum and one- half of all the peanuts are used to produce peanut butter. 2013 2014 2015 Product Quantity Price Quantity Price Quantity Price Sugar cane Yo-yos 240 s0.80 240 S1.00 300 $1.15 600 2.50 700 3.00 750 4.00 Rum 150 10.00 160 12.00 180 15.00 Peanuts s00 2.00 450 2.50 450 2.50 Harmonicas 75 25.00 4.50 75 30.00 85 30.00 Peanut butter 100 85 4.50 85 5.00 a. Use the production and price information in the table to calculate nominal GDP for 2015. b. Use the production and price information in the table to calculate real GDP for 2013, 2014, and 2015 using 2013 as the base year. What is the growth rate of real GDP from 2013 to 2014 and from 2014 to 2015? c. Use the production and price information in the table to calculate real GDP for 2013, 2014, and 2015 using 2014 as the base year. What is the growth rate of real GDP from 2013 to 2014 and from 2014 to 2015?

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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