GDP Cpi Exercises
GDP Cpi Exercises
GDP Cpi Exercises
Free response/essay- Read the following and answer each part as completely and correctly as possible.
Assumptions:
1. There were only three goods in Computerland below.
2. The following prices and quantities produced were recorded in Computerland during the years
shown.
3. The typical consumer is assumed to purchase 2 mousepads, 5 maps, and 3 modems each year.
5. Using the CPI what was the average annual rate of inflation during 1993 and 1994? ______
6. What was the GDP deflator in 1994? ______________
7. What was the percentage change in real GDP from 1993 to 1994? _____________
8. What was the percentage change in nominal GDP from 1993 to 1994? ___________
9. What was the percentage change in nominal GDP from 1992 to 1993? ___________