Table 19-26 -Refer to Table 19-26

question 75

Essay

Table 19-26
$$\begin{array} { | l | r | r | } \hline & { \mathbf { 2 0 1 5 } } & { \mathbf { 2 0 1 6 } } \\\hline \text { Nominal GDP } & \$ 10,000 & \$ 15,000 \\\hline \text { Real GDP } & 10,000 & 14,000 \\\hline\end{array}$$
-Refer to Table 19-26.Given the information above,calculate the GDP deflator for both 2015 and 2016.What does the value of the deflator in the year 2015 tell you about that year with respect to the base year? What happened to prices in 2016 as compared to 2015?

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Definitions:

Executive Power

The authority to execute and enforce laws, typically vested in the president or prime minister in a governmental system.

Federal Budget

The government's estimate of revenue and spending for a fiscal year, reflecting the nation's priorities and financial plans at the federal level.

Proposed Legislation

This term refers to laws suggested by legislators or policymakers that are under consideration but not yet enacted.

Declare War

The formal act by which a nation-state announces and justifies its intent to engage in armed conflict against another state or organization, often requiring approval by its government or legislature.