3 Uink to Pubisher Materials Minap-Cengage Learning C Cheg Study Quided Solutiox ?. Secure https:/ing.cengage.com/stat x.htmi?deploymentld-55725919015819705534195425&e1S8N; 97813056 5% MINDTAP Aplia Homework: Tracking the U.S. Economy CBack to Assignment Attempts Average: 12 9. Alternative price indexes sn\'t one single measure of inflation, the government and researchers use a variety of methods to get the most balanced picture of how prices fluctuate in the economy. Two of the most commonly used price indexes are the consumer price index (CP1) and the GDP deflstor The GDP defator for this year is calculated by dividing the using by the using and multiplying by 100. However, the CPI reflects only the prices of all goods and services Indicate whether each scenario wil affect the GDP defilator or the CPI for the United States. Check all that Shows up in the... GDP Deflator Scenario CPI A decrease in the price of a German-made television that is popular among U.S. consumers An increase in the price of a Waterman Industries deep-water reel, which is a commercial fish sea fishing Grade It Contrue without saving esc 30
The GDP deflator for this year is calculated by dividing the value of all goods and services produced within the economy this year using this year\'s prices by the value of all goods and services produced within the economy this year using the base year\'s prices and multiplying by 100.
However, the CPI reflects only the prices of all goods and services bought by consumers.
• Scenario 1 shows up in the CPI because it reflects price of Television purchased by typical U.S consumers. The price change has no effect on GDP deflator because GDP deflator measures only prices of domestically produced goods and services.
• Scenario 2 shows up in GDP Deflator because GDP deflator reflects the price of all domestically produced goods and services. Also, this scenario doesn\'t affect CPI because a commercial fishing product is not bought by a typical domestic consumer.
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