For 2002,the Kwakian Economy Had the Following Nominal Quantities (In

question 27

Essay

For 2002,the Kwakian economy had the following nominal quantities (in billions of dollars)and price indexes (1997 = 100)for each category of expenditure:
$$\begin{array} { l c c } & \text { Nominal Value } & \text { Price Index } \\\hline \text { Consumption } & 423.1 & 125.1 \\\text { Fixed investment } & 112.0 & 111.0 \\\text { Government purchases } & 165.8 & 123.2 \\\text { Exports } & 180.4 & 100.9 \\\text { Imports } & 186.7 & 97.2 \\\text { Change in inventories } & - 3.28 & 111.0 \\\hline\end{array}$$
a.Calculate the real quantity for each category (to one decimal point).
b.Calculate nominal and real GDP.
c.Find the implicit price deflator (1997 = 100).

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Definitions:

Public Transportation

Systems of transport available to the public, including buses, trains, and subways, for traveling within and between areas.

Tax-Deferred Retirement Plan

A savings plan that allows individuals to invest money for retirement while deferring taxes on the earnings until withdrawal.

Annual Return

The percentage change in an investment's value over a year, accounting for dividends, interest, and capital gains.

Compounded Monthly

A financial term referring to the process of calculating interest on both the initial principal and the accumulated interest from previous periods on a monthly basis.