The table below shows the expenditures of an economy in 2020 and 2021, measured in millions of current year dollars:

Calculate the nominal GDP of the economy in 2020 and 2021. Given that the CPI is 1.09 in 2020 and 1.03 in 2021, calculate the real GDP of the economy in 2020 and 2021. Determine the real economic growth rate from 2020 to 2021. What can you conclude regarding the changes in the standard of living and well-being of the residents of the economy in 2021 compared to 2020?
 

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Item Consumption Investment Government Spending Exports Imports Amount in 2020 69,880 15,320 19,450 2,500 6,000 Amount in 2021 70,640 16,340 18,400 2,000 5,300 Item Consumption Investment Government Spending Exports Imports Amount in 2020 69,880 15,320 19,450 2,500 6,000 Amount in 2021 70,640 16,340 18,400 2,000 5,300

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