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The Case:
Togo is a country in West Africa bordered by Ghana to the west. French is the core language of the people of Togo. Being an agrarian economy, more than 60% population is engaged in agricultural or pastures sector. Togo is the world's largest producer of phosphate after Senegal and South Africa. Although this sub-Saharan economy is heavily dependent on agriculture sector, still some basic foodstuff is being imported. Major exportable items are cotton, cocoa, coffee and phosphate which generate 40% of export earnings while importable items of the country are fuel, energy and capital goods. Suppose in the year 1986, out of total population of Togo, 90 Lakh people were employed and 7 Lakh were unemployed. In the second year (1987), because of twin deficit, government of Togo printed more money to cover the budget deficit. This printing more money directly affected the price hike of the commodities which deteriorated overall situation of the economy. In year 1987, out of the total population, 87 Lakh people were employed and 11 Lakh were unemployed. During this year, phosphate mining also suffered from the collapse of international price, domestic price and increase in foreign competition. Printing more money and disturbing international scenario of phosphate effected the income, consumption and production of Togo generally and unemployment particularly.
Suppose, during these two years, people of Togo produced and consumed only five commodities i.e. fish, milk, meat, rice and fruit. Following table shows the price and quantity of these five commodities in the year 1986 and 1987.

                                                            1986                                                                          1987
Commodities
                                            Price (Rs)           Quantity                                            Price (Rs)         Quantity

     Fish                                     10                      50                                                      13                    70
     Milk                                      5                     100                                                       7                    100
    Meat                                     7                      150                                                     10                    155
     Rice                                     6                      70                                                       10                     90
     Fruits                                  7                        90                                                      14                     90
Requirements:
With the help of above data, calculate Togo's:
a) Nominal GDP for year 1986
b) Nominal GDP for year 1987
c) Real GDP for year 1987
d) GDP deflator for the year 1987
e) Labor force for year 1986 and 1987
Note: Use 1986 as base year where required.
Note: Write down formula and all relevant steps involved in calculations

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