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What is the value of the gdp deflator in 2014

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Reference no: EM132123907

We live in Kapurkua, a small island in the mediterranean between Greece and Spain (no, it doesn't really exist so don't look it up in the map). In the island we produce and consume canoes, latreks (a garment that is comfortable and keeps us protected from the sun and the mosquitos), and chickpeas.

1) In 2014 we produced 10 canoes, 20 latreks, and 50 lbs. of chickpeas. The price of a canoe was 100 Kapres (the local currency), the price of a latrek was 10 Kapres, and the price of a pound of chickpeas was 0.5 Kapres. At the same time 9 canoes were bought, all 20 latreks were bought, and only 40 lbs. of chickpeas were bought. What is Kapurkua's nominal GDP for 2014?

2) In 2010 the price of a canoe was 80 Kapres, the price of a latrek was 15 Kapres, and the price of a pound of chickpeas was 0.25 Kapres. If we are using 2010 as the base year, what is Kapurkua's real GDP for 2014?

3) What is the value of the GDP Deflator in 2014?

Reference no: EM132123907

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