Re: jnu 2017 answers sss, let's discuss

Posted by Econenthusiast on Dec 10, 2017; 3:41am
URL: http://discussion-forum.276.s1.nabble.com/jnu-2017-answers-sss-let-s-discuss-tp7608176p7608435.html

Any idea how 34 is solved ?
This is what I've done,
Inorder to calculate the minimum increase in nominal GDP, I kept the relation that

Given: Growth in real per capita output y =Y/L = 50%, growth in L = 20%. Therefore Gy = GY + GL ,
Gy + GL  = 70% = GY

Real Y = Nom Y / Price
Growth in real GDP  = Growth in nom Y - Growth in price
Growth in real GDP + Growth in price = Growth in nom Y

minimum increase in nominal Y is when growth of price is equal to zero.
 therefore min increase is 70%