Below are some data from the land of milk and honey.

a. Compute nominal GDP, real GDP, and the GDP deflator for each year, using 2010 as the base year.
b. Compute the percentage change in nominal GDP, real GDP, and the GDP deflator in 2011 and 2012 from the preceding year. For each year, identify the variable that does not change. Explain in words why your answer makes sense.
c. Did economic well-being rise more in 2011 or 2012?Explain.

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Quantity of Milk Price of Honey Quantity of Honey Price of Year Milk 2010 $1 2011 $1 2012 $2 200 200 100 quarts $2 $2 0 quarts 100 100 $4