5. National accounting over time (II): Consider an economy that produces oranges and boomerangs. The prices and quantities of these goods in two different years are reported in the table below. Fill in the missing entries. Quantity of oranges Quantity of boomerangs Price of oranges (dollars) Price of boomerangs (dollars) Nominal GDP Real GDP in 2020 prices Real GDP in 2021 prices Real GDP in chained prices, benchmarked to 2021 2020 100 20 1 3 ? ? 2021 105 22 1.10 3.10 ? Percentage change 2020-2021

Essentials of Economics (MindTap Course List)
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ISBN:9781337091992
Author:N. Gregory Mankiw
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Chapter15: Measuring A Nation's Income
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5. National accounting over time (II): Consider an economy that produces oranges
and boomerangs. The prices and quantities of these goods in two different
years are reported in the table below. Fill in the missing entries.
Quantity of oranges
Quantity of boomerangs
Price of oranges (dollars)
Price of boomerangs (dollars)
Nominal GDP
Real GDP in 2020 prices
Real GDP in 2021 prices
Real GDP in chained prices,
benchmarked to 2021.
2020
100
20
1
3
P
n..
?
2021
105
22
1.10
3.10
?
Percentage change
2020-2021
?
?
n
O
Transcribed Image Text:5. National accounting over time (II): Consider an economy that produces oranges and boomerangs. The prices and quantities of these goods in two different years are reported in the table below. Fill in the missing entries. Quantity of oranges Quantity of boomerangs Price of oranges (dollars) Price of boomerangs (dollars) Nominal GDP Real GDP in 2020 prices Real GDP in 2021 prices Real GDP in chained prices, benchmarked to 2021. 2020 100 20 1 3 P n.. ? 2021 105 22 1.10 3.10 ? Percentage change 2020-2021 ? ? n O
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  1. Calculate the inflation rate using the GDP deflator based on the Laspeyres, Paasche, and chain- weighted indexes of GDP (use the approximate formula).
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