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:

Mucosa

A moist tissue layer that lines certain internal surfaces of the body, including the nose, mouth, lungs, and digestive tract.

Colon

Division of the large intestine that extends from the cecum to the rectum.

Goblet Cells

Specialized epithelial cells found within the respiratory and intestinal tracts that secrete mucus to trap pathogens and particles.

Pancreatic Juice

External secretion of the pancreas; clear, alkaline fluid containing several enzymes.