Suppose that g1 represents the ratio of year 2 GDP to year 1 GDP,both valued at year 1 prices. Suppose that g2 represents the ratio of year 2 GDP to year 1 GDP,both valued at year 2 prices. The ratio of chain-weighted year 2 GDP to chain-weighted year 1 GDP equals
A) (g? + g?)/2.
B) (g? x g?)/2.
C)( + )/2.

Question

Suppose that g1 represents the ratio of year 2 GDP to year 1 GDP,both valued at year 1 prices. Suppose that g2 represents the ratio of year 2 GDP to year 1 GDP,both valued at year 2 prices. The ratio of chain-weighted year 2 GDP to chain-weighted year 1 GDP equals
A) (g? + g?)/2. 
B) (g? x g?)/2. 
C)( + )/2.

Quizplus · Accepted Answer

The Answer of Suppose that g1 represents the ratio of year 2 GDP to year 1 GDP,both valued at year 1 prices. Suppose that g2 represents the ratio of year 2 GDP to year 1 GDP,both valued at year 2 prices. The ratio of chain-weighted year 2 GDP to chain-weighted year 1 GDP equals
A) (g? + g?)/2. 
B) (g? x g?)/2. 
C)( + )/2.

Suppose That G1 Represents the Ratio of Year 2 GDP