Employees at a certain company currently have to pay 3% of their health care costs, while the company pays the rest. Next year, however, employees will have to pay 6% of their health care costs. Express the change as an absolute change (in percentage points) an a relative change. The absolute change is percentage points. The relative change is %.

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### Calculating Absolute and Relative Changes in Health Care Costs

Employees at a certain company currently have to pay 3% of their health care costs, while the company pays the rest. Next year, however, employees will have to pay 6% of their health care costs. Express the change as an absolute change (in percentage points) and a relative change.

---

**The absolute change is** [                     ] **percentage points.**

---

**The relative change is** [                      ] **%.**

---

#### Explanation:

When working with percentages, it's crucial to distinguish between absolute and relative changes. 

- **Absolute Change:** This is the straightforward difference between the two percentages. In this case, you will subtract the initial percentage (3%) from the new percentage (6%) to find the absolute change.

- **Relative Change:** This represents the absolute change as a proportion of the initial value. To find the relative change, you will divide the absolute change by the original percentage and multiply by 100 to get a percentage.

This educational exercise helps illustrate how to measure changes effectively, which is a common scenario in both business and personal finance contexts.
Transcribed Image Text:### Calculating Absolute and Relative Changes in Health Care Costs Employees at a certain company currently have to pay 3% of their health care costs, while the company pays the rest. Next year, however, employees will have to pay 6% of their health care costs. Express the change as an absolute change (in percentage points) and a relative change. --- **The absolute change is** [ ] **percentage points.** --- **The relative change is** [ ] **%.** --- #### Explanation: When working with percentages, it's crucial to distinguish between absolute and relative changes. - **Absolute Change:** This is the straightforward difference between the two percentages. In this case, you will subtract the initial percentage (3%) from the new percentage (6%) to find the absolute change. - **Relative Change:** This represents the absolute change as a proportion of the initial value. To find the relative change, you will divide the absolute change by the original percentage and multiply by 100 to get a percentage. This educational exercise helps illustrate how to measure changes effectively, which is a common scenario in both business and personal finance contexts.
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