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-Suppose That the Country of Samiam Produces Only Eggs and Ham

Question 131

Multiple Choice

-Suppose that the country of Samiam produces only eggs and ham. In 2010 it produced 100 units of eggs at $3 each and 50 units of ham at $4 each. In 2006, the base year, eggs sold for $1.50 per unit and ham sold for $5 per unit. What can we conclude? A) Nominal GDP is $500, real GDP is $400, and the GDP deflator is 80. B) Nominal GDP is $500, real GDP is $400 and the GDP deflator is 125. C) Nominal GDP is $400, real GDP is $400, and the GDP deflator is 100. D) Nominal GDP is $400, real GDP is $500, and the GDP deflator is 125.
-Suppose that the country of Samiam produces only eggs and ham. In 2010 it produced 100 units of eggs at $3 each and 50 units of ham at $4 each. In 2006, the base year, eggs sold for $1.50 per unit and ham sold for $5 per unit. What can we conclude?


A) Nominal GDP is $500, real GDP is $400, and the GDP deflator is 80.
B) Nominal GDP is $500, real GDP is $400 and the GDP deflator is 125.
C) Nominal GDP is $400, real GDP is $400, and the GDP deflator is 100.
D) Nominal GDP is $400, real GDP is $500, and the GDP deflator is 125.

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