2. Economics
3. calculating chainweighted real gdp prices in dollars and production for...

# Question: calculating chainweighted real gdp prices in dollars and production for...

###### Question details

Calculating chain-weighted real GDP
Prices (in dollars) and production for an orchard are provided in the following table:
Year--------Good------Price------Quantity
2016-------apples -----5----------20,000
2016-------apple juice---10-------9,000
2016-------cider----------14--------5,000

________________________________

2017------apples--------8--------25,000
2017----apple juice----15-------12,000
2017-----cider-----------18-------4,500

______________________________
2018----apples----------12-------35,000
2018-----apple juice----18-------15,000
2018-----cider------------25-------10,000

In all years, half of all apple production is used to produce apple juice and cider. For this
problem, round all market values to the nearest whole dollar.
a) Calculate chain-weighted production in all three years using 2016 as the base year, then
calculate output growth for 2017 and 2018.