For the following question(s), suppose an economy produces only bread and computers. Assume that all production is consumed in each year, and that price and quantity data are given in the table below.

-The nominal GDP of Year 1 is
A) $800.
B) $1050.
C) $1900.
D) $2400.

Question

For the following question(s), suppose an economy produces only bread and computers. Assume that all production is consumed in each year, and that price and quantity data are given in the table below.

-The nominal GDP of Year 1 is
A) $800. 
B) $1050. 
C) $1900. 
D) $2400.

Quizplus · Accepted Answer

Nominal GDP is the value of all goods and services produced in an economy in a given year, valued at current prices. In this case, the nominal GDP of Year 1 is $800.

For the Following Question(s), Suppose an Economy Produces Only Bread