For the Following Question(s), Suppose an Economy Produces Only Pens

question 43

Multiple Choice

For the following question(s) , suppose an economy produces only pens and pencils, and that the quantity and price data is given by this table:

-What is the real GDP in year 1 using base year 2?

• A) $418
• B) $300
• C) $360
• D) $338
• E) $294

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Definitions:

Atomic Bombs

A weapon of mass destruction that derives its destructive force from nuclear reactions, either fission or a combination of fission and fusion.

Harry Truman

The 33rd president of the United States, known for his decision to use atomic bombs during World War II and for the Truman Doctrine.

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations and marked by significant battles across Europe, Asia, and Africa.

Kidnapping

The unlawful act of abducting an individual, often to extract ransom or fulfill another illegal demand.