I don't really understand how to solve part a differently than part b. Are there two different equations? - I assume it is because it wouldn't make sense to ask the same question twice, but I can't remember or find what the basic equation to use in part a is. I am also not sure what the CPI or PCE methods are. If someone could please explain these to me, I would really appreciate it.

Consider an economy that produces three goods: apples, oranges, and rockets. Apples and oranges are bought by private consumers, while rockets are bought by the government. Below is the table with their produced quantities and prices in two consecutive years: Year 1 Year 2 Oranges $1 1000 $1.25 800 Rockets $1,000 l 2 l $1,000 3 a. Estimate the growth of real GDP using Year 1 as the base year b. Estimate inflation using the GDP deflator method Estimate inflation using CPI method and a basket of good consisting of one apple and one orange d. Estimate inflation using the PCE method and taking only the Year 2 consumption basket e. Compare inflation measured in these three different ways. Explain why you get different figures. Which one do you think shows the most accurate picture and why