ECON 2 Lecture Notes - Lecture 1: Gdp Deflator
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Gdp deflatort = (cid:3017)(cid:3047) (cid:3017)(cid:3047)= (cid:1870)(cid:1855)(cid:1872) (cid:3018)(cid:3048)(cid:3028)(cid:3041)(cid:3047)(cid:3047)(cid:3047) (cid:1870)(cid:1855)(cid:1854)(cid:1853)(cid:1871)(cid:1853)(cid:1870) (cid:3018)(cid:3048)(cid:3028)(cid:3041)(cid:3047)(cid:3047)(cid:3047)= (cid:3017)(cid:3045)(cid:3030)(cid:3032)(cid:3047) (cid:3017)(cid:3045)(cid:3030)(cid:3032)(cid:3029)(cid:3028)(cid:3046)(cid:3032)(cid:3032)(cid:3028)(cid:3045) 23, #6): consider an economy that produces only chocolate bars. In year 1, the quantity produced is 3 bars and the price is . In year 2, the quantity produced is 4 bars and the price is . In year 3, the quantity produced is 5 bars and the price is . What is the nominal gdp for each of the 3 years: What is the real gdp for each of the 3 years: Gdp deflator2 = 20 / 16 = 1. 25. What is the percentage growth rate of real gdp from year 2 to year 3? inflation rate2 3 = growth rate of gdp deflator2 3 = Rdgpgrowthrate2 3 = (cid:3019)(cid:3017)(cid:2871) (cid:3019)(cid:3017)(cid:2870) (cid:3019)(cid:3017)(cid:2870)-1 = (cid:2870)(cid:2868)(cid:2869)(cid:2874)-1 = 25% =(cid:2869)(cid:2873)(cid:2869). (cid:2870)(cid:2873)-1 = 20% (cid:3017) (cid:3032)(cid:3033)(cid:3028)(cid:3047)(cid:3042)(cid:3045) (cid:2871) (cid:3017) (cid:3032)(cid:3033)(cid:3028)(cid:3047)(cid:3042)(cid:3045)(cid:2870) (cid:3017) (cid:3032)(cid:3033)(cid:3028)(cid:3047)(cid:3042)(cid:3045)(cid:2870) Rgdp growth rate2 3 = (cid:3018)(cid:2871) (cid:3018)(cid:2870)(cid:3018)(cid:2870) =(cid:2873) (cid:2872)(cid:2872) = 25% inflation rate2 3 = (cid:3017)(cid:2871) (cid:3017)(cid:2870)(cid:3017)(cid:2870)
