Suppose only one Good ' {\X} ' is produced in the country. ...

CBSE 2023 Class 12 Economics Delhi Set 1

Question : 14

Total: 49

Suppose only one Good ' X ' is produced in the country. Output of 'Good X during 2018 and 2019 were 100 units and 110 units respectively. The market price of the product during the two years was ₹50 and ₹55 per unit respectively.
Calculate the percentage change in Real Gross Domestic Product (GDP) in year 2019, using 2018 as the base year.

Solution:

Year	Output produced (units)	CurrentYearPrices	Nominal GDP = Current year Output × Current year prices	Real GDP =Current yearOutput × Baseyear price100×50=5000
2018	100	50	100×50=5000	100×50=5000
2019	110	55	110×55=6050	110×50=5500

Change in Real GDP =5500−5000=500
%‌ Change in Real GDP ‌‌ =‌

‌ Change in Real GDP ‌

‌ Initial Real GDP ‌

×100
‌=‌

500

5000

×100=10%

Go to Question:

Prev Question

Next Question