Suppose the market basket consists of 100X, 200Y, and 300Z. Current-year price each unit of X, $2 for each unit of Y, and $3 for each unit of Z. Base-year prices a each unit of X, Y, and Z. What is the approximate CPI in the current year? а. 70.20 b. 1,200 с. 15
Suppose the market basket consists of 100X, 200Y, and 300Z. Current-year price each unit of X, $2 for each unit of Y, and $3 for each unit of Z. Base-year prices a each unit of X, Y, and Z. What is the approximate CPI in the current year? а. 70.20 b. 1,200 с. 15
Chapter1: Making Economics Decisions
Section: Chapter Questions
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Transcribed Image Text:Suppose the market basket consists of 100X, 200Y, and 300Z. Current-year prices are $5 for
each unit of X, $2 for each unit of Y, and $3 for each unit of Z. Base-year prices are $2 for
each unit of X, Y, and Z. What is the approximate CPI in the current year?
а. 70.20
b. 1,200
с. 15
d. 150
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