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Nowhereistan is a poor country in an island in the middle of nowhere. It produces only apples, bananas and oranges. The following are the data for 2009 (base year) and 2010 Fruit Quantity 2009 Price 2009 Quantity 2010 Price 2010Apples 3000 bags $2 per bag 4000 bags $3 per bagBananas 6000 bunches $3 Per Bunch 14000 bunches $2 per bunchOranges 8000 bags $4 per bag 32000 bags $5 per bag
a) Find the nominal GDP in both years? What is the growth in nominal GDP? b) Find the real GDP in both years? What is the growth of the real GDP? c) Find the GDP deflator for both years? What is the percentage change in price level?d) Is the growth in nominal GDP more because of the change in prices or because of a real growth in output of the country?
The demand function for gadgets is providede by the following formula. Illustrtae what is the point price elasticity of demand.
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Assume that your firm above is the N.Y. Yankees and the league owners impose a lump sum tax of $4 million dollars on your firm.
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Disscuss the contrasting views of the Keynesians and the monetarists with regard to an appropriate.
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Suppose that the ecomony is operating below full employment and that it will not overheat during the year.
Make a paper in which you discuss market trends organization/industry will face. Explain your conclusions. In your paper address how each.
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