Problem_Set_1

# Problem_Set_1 - c. In the course, we will not make a...

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Problem Set Economics 53 Due Friday, Sept 21 1. Using the Statistical Appendix (Appendix B) of the Economic Report of the President, 2007 , answer the following questions. a. Find the Nominal and Real GDP in the year of your birth, along with the size of C, G, I and NX. Compare those numbers to a year x years ago, where x is the sum of the last two numbers of your student ID multiplied by 2. Compute the % contribution of C, G, I and NX to nominal GDP for the two years. Any significant changes? [note the similarity between the GNP and the GDP for those years] What has been the growth of the real GDP between the two years? b. Using the two years from part a, what part of consumption was spent on services?
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Unformatted text preview: c. In the course, we will not make a distinction between the GDP and NY (national income). For the year (your birth year – x) from above, show how to get from the GDP to NY. What is the % difference between NY and the GDP for that year? 2. Suppose you have an economy with the following two goods, prices and outputs. Price, 2000 Q, 2000 Price, 2001 Q, 2001 Food 3 100 5 100 Clothing 10 50 8 60 a. What is the nominal GDP in 2001? b. What is the real GDP in 2001, using 2000 as the base? c. What is the GDP deflator in 2001? d. What is the chained real GDP index for 2001? 3. Do problems 7 & 9, pp. 74-5. 4. Do problem 8, p. 111....
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## This note was uploaded on 04/13/2008 for the course ECON 53 taught by Professor Barbezat during the Spring '08 term at UMass (Amherst).

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