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Bananaland Produces Only Bananas and Sunscreen and the Quantities and \text

Question 29

Multiple Choice

 Date for 2012 Data for 2013 Item  Quantity  Price  Quantity  Price  Bananas 100$2.00125$4.00 Sunscreen 60$5.0075$4.00\begin{array} { l c c c c } & { \text { Date for } \mathbf { 2 0 1 2 } } & & { \text { Data for } \mathbf { 2 0 1 3 } } \\\hline { \text { Item } } & \text { Quantity } & \text { Price } & \text { Quantity } & \text { Price } \\\hline \text { Bananas } & 100 & \$ 2.00 & 125 & \$ 4.00 \\\text { Sunscreen } & 60 & \$ 5.00 & 75 & \$ 4.00 \\\hline\end{array}

Bananaland produces only bananas and sunscreen and the quantities and prices for 2012 and 2013 are given in the table above.
-The base year is 2012. In 2013, which is larger: Nominal GDP or real GDP?


A) real GDP is larger
B) both are the same size
C) the answer is ambiguous
D) nominal GDP is larger
E) More information is needed to determine which is larger.

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