Table 15-5
A hypothetical country of Lahland produces only movies and popcorn.Quantities and prices of these goods for the last several years are shown below.The base year is 2009.
Prices and Quantities

-Refer to Table 15-5 In which year was this country's real GDP highest?

Question

Table 15-5
A hypothetical country of Lahland produces only movies and popcorn.Quantities and prices of these goods for the last several years are shown below.The base year is 2009.
Prices and Quantities
 
-Refer to Table 15-5 In which year was this country's real GDP highest?

Quizplus · Accepted Answer

To calculate real GDP, we need to use constant prices (base year prices). In this case, the base year is 2009. We can see from the table that the quantities of both movies and popcorn increased from 2009 to 2010, while their prices remained the same. Therefore, the real GDP in 2010 is higher than in any other year.

Table 15-5 A Hypothetical Country of Lahland Produces Only Movies and Popcorn.Quantities