7. The consumer price index (CPI) is a fixed-weight index. It com- pares the price of a fixed bundle of goods in one year with the price of the same bundle of goods in some base year. the price of a bundle containing 100 units of good X, 150 units of good Y, and 25 units of good Z in 2008, 2009, and 2010. Convert the reSults into an index by dividing each bundle price figure by the bundle price in 2008. Caleulate the percentage change in your index between 2008 and 2009 and again between 2009 and 2010. Was there inflation between 2009 and 2010? Calculate

7. The consumer price index (CPI) is a fixed-weight index. It com- pares the price of a fixed bundle of goods in one year with the price of the same bundle of goods in some base year. the price of a bundle containing 100 units of good X, 150 units of good Y, and 25 units of good Z in 2008, 2009, and 2010. Convert the reSults into an index by dividing each bundle price figure by the bundle price in 2008. Caleulate the percentage change in your index between 2008 and 2009 and again between 2009 and 2010. Was there inflation between 2009 and 2010? Calculate

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Q10
A typical family on Sandy Island consumes only juice and cloth. Last year, which was the base year, the family spent $40 on juice and $20 on cloth. In the base year, juice was $4 a bottle and cloth was $5 a length. This year, juice is $8 a bottle and cloth is $2.5 a length. Calculate a. The CPI basket. b. The CPI in the current year. c. The inflation rate in the current year. I'm not sure if the final answer is 50 or -50, please help by showing the steps. Don't answer by pen paper and don't use chatgpt otherwise we will give dounvote
In 2012 the nominal value for household spending on food and beverages was equal to $17593m and in 2021 it was $23888m. Using the most appropriate price index from the list below, calculate the percentage change in real household spending on food and beverages from 2012 to 2021 and answers the questions below. 2012 2021CPI (Food) 961 1057CPI (All groups) 949 1068PPI (Outputs - Food manufacturing) 1031 1171Import price index (food and beverages) 1436 1306 The percentage change in nominal household spending on food and beverages is equal to?
1
- The table below pertains to Greenland, an economy in which the typical consumer's basket consists of 150 Boxes of Apples and 200 Boxes of Bananas. Year Price of Apple Price of Bananas 2018 $15 per Box $12 per Box 2019 $14 per Box $13 per Box 2020 $17 per Box $18 per Box Referring to the above table compute the followings:(The base Year 2018). - The cost of the basket in 2018,2019,2020. The CPI for 2018,2019,2020. - The Inflation Rate in 2020.
Solve all subparts correctly and explains
Table 2.5.4 from BEA What categories of consumption expenditures have the highest inflation rate between 2012 and 2021? Are there any categories for which prices are relatively stanle or cheaper?
Indicate which one of the following events will affect CPI ONLY. Oa Saudi Arabia successfully developing a vaccine for Covid-19 which is used locally as well as exported to other countries. Ob. There is a decrease in the price of meat imported from Australia. Oc.There is an increase in the price of eggs produced in Saudi Arabia Od. People buying more imported goods without any change in prices O Saudi Arabia changes its base year to 2020
Assuming that a household in Hadililand consumes only apple juice and T-shirts. Last year, which was the base year, the household spent $440 on juice and $132 on shorts. In the base year, juice was $2.2 a bottle and shorts were $11 a pair. This year, juice is $3.3 a bottle, shorts are $13.2 a pair, and a typical household has bought 198 bottles of juice and 15 pairs of shorts. a) What is the basket used in the CPI? b) Calculate the CPI in the current year. c) Calculate the inflation rate in the current year. d) Is the inflation rate that you've calculated likely to be biased? Why or why not?