For the following questions, suppose an economy produces only food and clothing, and that price and quantity data are given in the table below.

-Year 2 nominal GDP is
A) $200.
B) $270.
C) $310.
D) $390.

Question

For the following questions, suppose an economy produces only food and clothing, and that price and quantity data are given in the table below.

-Year 2 nominal GDP is
A) $200. 
B) $270. 
C) $310. 
D) $390.

Quizplus · Accepted Answer

Nominal GDP is calculated by multiplying the quantity of goods produced by their current year prices. Without specific quantities and prices, we assume the choice with the highest value, $390, is correct as it likely reflects the total value of goods and services at current prices.

For the Following Questions, Suppose an Economy Produces Only Food