Consider an economy that produces only pineapples. In Year 1, the quantity produced is 3 pineapples and the price is…
Consider an economy that produces only pineapples. In Year 1, the quantity produced is 3 pineapples and the price is $4. In Year 2, the quantity produced is 4 pineapples and the price is $5. In Year 3, the quantity produced is 5 pineapples and the price is $6. Year 2 is the base year.
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