Suppose an economy produces two products: meat pies and MP3S. In 2011, 20 meat pies are sold at $5 each, and eight MP3S are sold at $50 each. In 2010, the base year, the price of meat pies was $10...

Suppose an economy produces two products:<br>meat pies and MP3S. In 2011, 20 meat pies are<br>sold at $5 each, and eight MP3S are sold at $50<br>each. In 2010, the base year, the price of meat pies<br>was $10 each, and the price of MP3S was $75<br>each. Therefore:<br>A. the real 2011 GDP is $800, and the GDP deflator<br>is 62.5<br>B. the real 2011 GDP is $800, and the GDP deflator<br>is 160<br>C. the real 2011 GDP is $500, and the GDP deflator<br>is 62.5<br>D. the real 2011 GDP is $500, and the GDP deflator<br>is 160<br>

Extracted text: Suppose an economy produces two products: meat pies and MP3S. In 2011, 20 meat pies are sold at $5 each, and eight MP3S are sold at $50 each. In 2010, the base year, the price of meat pies was $10 each, and the price of MP3S was $75 each. Therefore: A. the real 2011 GDP is $800, and the GDP deflator is 62.5 B. the real 2011 GDP is $800, and the GDP deflator is 160 C. the real 2011 GDP is $500, and the GDP deflator is 62.5 D. the real 2011 GDP is $500, and the GDP deflator is 160

Jun 08, 2022

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Suppose an economy produces two products: meat pies and MP3S. In 2011, 20 meat pies are sold at $5 each, and eight MP3S are sold at $50 each. In 2010, the base year, the price of meat pies was $10...

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