Consider the data shown in the table. Assume that the economy produces only frozen fish. What is the real GDP for last year using this year as the base year?
$$\begin{array} { | l | c | c | }
\hline & \begin{array} { c }
\text { Tons of Frozen } \
\text { Fish Sold }
\end{array} & \begin{array} { c }
\text { Actual } \
\text { Price }
\end{array} \
\hline \text { Last year } & 100 & \$ 1,800 \
\hline \text { This year } & 105 & \$ 1,850 \
\hline
\end{array}$$
A)$180,000
B)$191,625
C)$185,000
D)$194,250

Question

Consider the data shown in the table. Assume that the economy produces only frozen fish. What is the real GDP for last year using this year as the base year?
$$\begin{array} { | l | c | c | } 
\hline & \begin{array} { c } 
\text { Tons of Frozen } \
\text { Fish Sold }
\end{array} & \begin{array} { c } 
\text { Actual } \
\text { Price }
\end{array} \
\hline \text { Last year } & 100 & \$ 1,800 \
\hline \text { This year } & 105 & \$ 1,850 \
\hline
\end{array}$$
A)$180,000
B)$191,625
C)$185,000
D)$194,250

Quizplus · Accepted Answer

To calculate the real GDP for last year using this year as the base year, we use the quantity from last year and the price from this year. Last year's quantity is 100 tons, and this year's price is $1,850 per ton. So, real GDP for last year = 100 tons * $1,850/ton = $185,000.

Consider the Data Shown in the Table A)$180,000 B)$191,625 C)$185,000 D)$194,250

Consider the Data Shown in the Table A)$180,000
B)$191,625
C)$185,000
D)$194,250