Question

What was real per capita GDP in 1933 measured in 2008 prices? (Use the data in the table below and a price index of 100/1400 to compute your answer.)

Year Nominal GDP Population Nominal per capita GDP
1933 $ 56 billion 126 million $ 444
2008 14,369 billion 300 million 47,897

Instructions: Enter your response as a whole number. i need help,

Answer 1

There is some information in the table that is not needed in this problem. To find real per capita GDP in 1933 measured in 2008 prices, just multiply Nominal per capita GDP in 1933 by how many times expensive the prices are in 2008 than they were in 1933. The solution is $444 x 14 = $6,216. So, the answer is $6,216.