3. Shipments of product from manufacturer to the retailer are tracked by the U.S. Census Bureau. The value of shipments for computer and electronic products in September 2009, 2010 and 2011 are shown in the table below, along with the CPI and PPI for each of these months. Manufacturer Shipments ($ billion) CPI PPI 2009 2010 29.1 33.3 216.0 218.4 173.4 180.2 2011 32.9 226.3 192.5 a) Use the CPI to deflate the value of the shipped computer and electronics products. b) Use the PPI to deflate the value of the shipped computer and electronics products. c) Which index, the CPI or PPI, do you feel is more appropriate for deflating these shipment values? Why?
3. Shipments of product from manufacturer to the retailer are tracked by the U.S. Census Bureau. The value of shipments for computer and electronic products in September 2009, 2010 and 2011 are shown in the table below, along with the CPI and PPI for each of these months. Manufacturer Shipments ($ billion) CPI PPI 2009 2010 29.1 33.3 216.0 218.4 173.4 180.2 2011 32.9 226.3 192.5 a) Use the CPI to deflate the value of the shipped computer and electronics products. b) Use the PPI to deflate the value of the shipped computer and electronics products. c) Which index, the CPI or PPI, do you feel is more appropriate for deflating these shipment values? Why?
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ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
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3. Shipments of product from manufacturer to the retailer are tracked by the U.S. Census
Bureau. The value of shipments for computer and electronic products in September
1
B
3E
2009, 2010 and 2011 are shown in the table below, along with the CPI and PPI for
each of these months.
Manufacturer Shipments
($ billion)
CPI
PPI
2009
29.1
216.0
173.4
218.4
226.3
2010
33.3
180.2
2011
32.9
192.5
a) Use the CPI to deflate the value of the shipped computer and electronics products.
b) Use the PPI to deflate the value of the shipped computer and electronics products.
c) Which index, the CPI or PPI, do you feel is more appropriate for deflating these
shipment values? Why?
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27/1/2021
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