Suppose an Economy's Production Consists Only of Corn and Soybeans

question 9

Multiple Choice

Suppose an economy's production consists only of corn and soybeans.In 2010,20 bushels of corn are sold at $4 per bushel and 10 bushels of soybeans are sold at $2 per bushel.In 2009,the price of corn was $2 per bushel and the price of soybeans was $1 per bushel.Using 2009 as the base year,it follows that,for 2010,

• A)nominal GDP is $50,real GDP is $100,and the GDP deflator is 50.
• B)nominal GDP is $50,real GDP is $100,and the GDP deflator is 200.
• C)nominal GDP is $100,real GDP is $50,and the GDP deflator is 50.
• D)nominal GDP is $100,real GDP is $50,and the GDP deflator is 200.

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Definitions:

Vertebral Posterior Arch

The portion of a vertebra that encapsulates and protects the spinal cord, forming the backside of the spinal canal.

Drowsiness

A feeling of being sleepy and lethargic, often leading to a decreased level of consciousness.

Nervous System

A complex network of nerves and cells that transmit signals between different parts of the body.

Involuntary Bodily Functions

These are physiological processes that are not under conscious control, such as breathing, heartbeat, and digestion.