Table 5-3. Prices and Quantities

Table 5-3.
Prices and Quantities

-Refer to Table 5-3. Using the GDP deflator to measure the average level of prices and using 2006 as the base year, what is the economy's inflation rate?

A) 20 percent for 2009 and 12.5 percent for 2010
B) 20 percent for 2009 and 30 percent for 2010
C) 25 percent for 2009 and 28 percent for 2010
D) 44.7 percent for 2009 and 45.5 for 2010