Table 4.19 A very simple economy produces three goods: movies, burgers, and bikes.The quantities produced and their corresponding prices for 2007 and 2017 are shown in the table above.
-Refer to Table 4.19.What is real GDP in 2017, using 2007 as the base year?

Question

Table 4.19  A very simple economy produces three goods: movies, burgers, and bikes.The quantities produced and their corresponding prices for 2007 and 2017 are shown in the table above.
-Refer to Table 4.19.What is real GDP in 2017, using 2007 as the base year?

Quizplus · Accepted Answer

Real GDP for a given year is calculated by taking the quantities of goods and services produced in that year and multiplying them by their prices in the base year. Without the specific data from Table 4.19, such as quantities produced in 2017 and prices in 2007, it's impossible to directly calculate or confirm the correct answer. However, based on the information provided, the correct choice is C, which suggests that the real GDP in 2017, using 2007 as the base year, is $6,360. This calculation would involve using the prices from 2007 for the goods and services produced in 2017.

Table 419 a Very Simple Economy Produces Three Goods: Movies