The people on Coral Island buy only juice and cloth. The CPI basket contains the quantities bought in 2019. The average household spent $60 on juice and $30 on cloth in 2019 when the price of juice was $2 a bottle and the price of cloth was $5 a yard. In the current year, 2020, juice is $4 a bottle and cloth is $6 a yard. Calculate the CPI and the inflation rate in 2020. The CPI in 2020 is. >>> Answer to 1 decimal place. ***
The people on Coral Island buy only juice and cloth. The CPI basket contains the quantities bought in 2019. The average household spent $60 on juice and $30 on cloth in 2019 when the price of juice was $2 a bottle and the price of cloth was $5 a yard. In the current year, 2020, juice is $4 a bottle and cloth is $6 a yard. Calculate the CPI and the inflation rate in 2020. The CPI in 2020 is. >>> Answer to 1 decimal place. ***
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
![The
people on Coral Island buy only juice and cloth. The CPI basket contains the quantities bought in 2019.
The average household spent $60 on juice and $30 on cloth in 2019 when the price of juice was $2 a bottle and the price of cloth was $5 a yard.
In the current year, 2020, juice is $4 a bottle and cloth is $6 a yard.
Calculate the CPI and the inflation rate in 2020.
The CPI in 2020 is.
>>> Answer to 1 decimal place.
ACCOR](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F82822d36-839b-45cb-aa91-8fb7951a387e%2F3feb73f0-a1f6-4e3a-bf46-ae3519207e7e%2Fchkeevud_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The
people on Coral Island buy only juice and cloth. The CPI basket contains the quantities bought in 2019.
The average household spent $60 on juice and $30 on cloth in 2019 when the price of juice was $2 a bottle and the price of cloth was $5 a yard.
In the current year, 2020, juice is $4 a bottle and cloth is $6 a yard.
Calculate the CPI and the inflation rate in 2020.
The CPI in 2020 is.
>>> Answer to 1 decimal place.
ACCOR
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