1. For the items listed below, determine whether or not each would be used to compute GDP. (10 A new oven purchased by Imo's Your friend buys you a couch from a yard sale Banking services bought by Target Your parents buy you some stock in Tesla for your birthday St. Louis County Police buys an urban assault vehicle The table below represents the entire set of goods produced on Family Island. Corn is used to produce chicken feed and has no other use. Clay pots and chicken feed are purchased by the citizens of Family Island, while the knives are bought by the elders. When necessary, use Year 3 as the base year. The typical consumer purchases 2 clay pots and 5 bags of chicken feed. Corn Knives Clay Pots Chicken Feed Price Quantity Price Quantity Price Quantity Price Quantity Year 1 $3 1000 $10 10 $5 10 $10 20 Year 2 $4 1200 $10 12 $5 11 $10 20 Year 3 $5 1300 $11 15 $6 11 $11 22 Year 4 $7 1800 $15 20 $6 13 $10 30 2. Calculate Real GDP for all years. (4 pts.) 3. Calculate GDP deflator for all years. (4 pts.) 4. Calculate the GDP growth rate for all adjacent years. (4 pts.) 5. Calculate the basket costs for all years. (4 pts.) 6. Calculate CPI for all years. (4 pts.) 7. Calculate inflation for all adjacent years. (4 pts.) 8. 9. In which year were clay pots the most expensive in real terms? Show work. (6 pts.) Bob earned $20/hour in Year 1 and $30/hour in Year 4. Which year was better in terms of real wages? (4 pts.) 10. If the nominal interest rate was 5% from Year 1 to Year 4, would it be better for you to spend your money or save it? Explain. (6 pts.)