Suppose that the consumer price index (CPI) was 160 in 2004 and 166 in 2005, inflation7)during 2005 waszero; prices were stable.b.а.3.8 рercent.6 percent.d.с.66 percent.If the consumer price index (CPI) was 180 at year-end 2004 and 189 at year-end 2005,8)inflation during 2005 waszero; prices were stable during 2005.а.b.4.8 percent.5 percent.с.d.9 percent.Suppose a market basket of goods and services costs $1,000 in the base year and the consumerprice index (CPI) is currently 110. This indicates the price of the market basket of goods andservices is now$110.$1,000.$1,100.d.9)а.b.с.$1,225.

Inflation rate = ∆ in consumer price index / base year's consumer price index × 100

7) Suppose that the consumer price index (CPI) was 160 in 2004 and 166 in 2005, inflation during 2005 was zero; prices were stable. b. а. 3.8 percent. 6 percent. d. с. 66 рercent. If the consumer price index (CPI) was 180 at year-end 2004 and 189 at year-end 2005, 8) inflation during 2005 was zero; prices were stable during 2005. b. а. 4.8 percent. 5 percent. d. с. 9 percent. Suppose a market basket of goods and services costs $1,000 in the base year and the consumer 9) price index (CPI) is currently 110. This indicates the price of the market basket of goods and services is now $110. b. a. $1,000. $1,100. d. с. $1,225.

7) Suppose that the consumer price index (CPI) was 160 in 2004 and 166 in 2005, inflation during 2005 was zero; prices were stable. b. а. 3.8 percent. 6 percent. d. с. 66 рercent. If the consumer price index (CPI) was 180 at year-end 2004 and 189 at year-end 2005, 8) inflation during 2005 was zero; prices were stable during 2005. b. а. 4.8 percent. 5 percent. d. с. 9 percent. Suppose a market basket of goods and services costs $1,000 in the base year and the consumer 9) price index (CPI) is currently 110. This indicates the price of the market basket of goods and services is now $110. b. a. $1,000. $1,100. d. с. $1,225.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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