Macroeconomics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506756
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter8: Economic Fluctuations, Unemployment, And Inflation
Section: Chapter Questions
Problem 12CQ
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Transcribed Image Text:Suppose in 2016, the cost of a market basket of goods was $1,950. In 2018, the cost of the same market basket of goods was $2,085.
Calculate the price index for 2018, using the price index formula, assume 2016 is the base year.
(Enter your response as an index number rounded to one decimal place.)
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