Question: Suppose the information in the following table is for a simple economy that produces only four goods and services: shoes, hamburgers, shirts, and cotton. Assume

Suppose the information in the following table is for a simple economy that produces only four goods and services: shoes, hamburgers, shirts, and cotton. Assume that all the cotton is used in the production of shirts.

a. Use the information in the table to calculate real GDP for 2016 and 2017, assuming that the base year is 2009.
b. What is the growth rate of real GDP during 2017?

2009 2016 2017 Quantity Price Quantity Price Quantity Price Product Shoes Hamburgers 90 $50.00 75 2.00 100 $60.00 2.00 100 $65.00 2.25 100 120 25.00 0.60 Shirts 50 30.00 50 50 65 25.00 0.70 50 Cotton 800 0.80 800 100 120

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