The table shows the quantities of the goods Suziebought and the prices she paid during two consecutiveweeks.Suzie's CPI market basket contains the goods shebought in Week 1.Calculate the cost of Suzie's CPI market basket in Week1 and in Week 2.What percentage of the CPI market basket is gasoline?Calculate the value of Suzie's CPI in Week 2 and herinflation rate in week 2.The cost of her CPI market basket in Week 2 is $ 95.75.>>> Answer to 2 decimal places.Gasoline is 36.3 percent of the CPI market basket.>>> Answer to 1 decimal place.Week 1ItemThe cost of Suzie's CPI market basket in Week 1 is $ 103.25.>>> Answer to 2 decimal places.The value of Suzie's CPI in Week 2 is>>> Answer to 1 decimal place.CoffeeBooksGasolineWeek 2ItemCoffeeBooksGasolineConcertQuantity13 cups115 gallonsQuantity13 cups25 gallons1 ticketPrice$2.75 a cup$30.00 each$2.50 a gallonPrice$2.75 a cup$15.00 each$3.00 a gallon$95 each

CPI measures the change in cost of market basket of goods and services consumed by an average…

Answered: The table shows the quantities of the…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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9. The big Social Security indexing debate Social Security is a old-age insurance program. Most people on it are at least 62 years old. The monthly payments are indexed to the CPI so that their purchasing power remains the same over time. If you got $1,000 a month in 2000 then you would get whatever $ amount today gives the same purchasing power according to the CPI. Some people think that the CPI is a bad choice because it focuses on the spending patterns of the typical worker and not the typical senior . The table below lists the weight (importance) of different categories in the basket for the CPI. If the CPI represented the needs of seniors the probably get more weight while the category would category would get less. Weight Category Food 13.7% Rent/housing 42.6% Clothes 3% 15.3% Transportation Medical care 8.5% Tuition 3% Other 13.9% a. food, clothes b. medical care, tuition c. tuition, medical care d. clothes, food
K The monthly market basket for consumers consists of pizza, 1-shirts, and rent. The table below shows market basket quantities and prices for the base year (Year 1) and in the following two years. The inflation rate between Year 1 and Year 2 is The inflation rate between Year 2 and Year 3 is Base Year (Year 1) Quantity 15 3 1 Price in the Base Year Product Pizza T-Shirts Rent (Round both answers to one decimal place). $3.50 $20.00 $450.00 Price in Year 2 $4.38 $18.00 $495.00 Price in Year 3 $4.55 $17.00 $585.00
In a simple economy, people consume only two goods: food and clothing. The market basket of goods used to compute the CPI has 40 units of food and 20 units of clothing. Food Clothing Last year's price $10 $ 18 This year's price $14 $21 a) What are the percentage increases in the price of food? Number b) What are the percentage increases in the price of clothing? Number c) What is the percentage increase in the CPI? Number
The table below shows the prices a household must pay for goods they purchase regularly. Year Price of Bread Price of Peanut Butter Price of Milk 1 $2.00 $3.50 $4.10 2 2.25 3.65 4.15 3 2.40 3.70 4.18 Suppose the yearly consumption of the household 60 loaves of bread, 97 jars of peanut butter, and 41 gallons of milk. What is CPI in year 3, using year 1 as a base year? Multiple Choice The CPI is 1.07. The CPI is 659.20. The CPI is 105.04. The CPI is 107.44
Mr. G says that “A 20% increase in the price of salt has a greater impact on the CPI than a 20% increase in the price of dark chocolate”. With proper reasoning state whether you agree with this statement or not.
11
Calculate 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.
The rent for tenants in a building in 1940 was $30 per month. The landlord changes the rent based on the CPI-U. Use the CPI-U chart below to calculate the current rent in 2005. Round to the nearest dollar. Year CPI-U 1940 14.0 1949 23.8 1983 99.6 2000 172.2 2005 195.3 2009 214.5 2014 236.0 2017 245.1 2019 255.7 2020 258.8 $ (b) Show calculations and explain your reasoning.
The table below presents some data on the federal minimum wage and the CPI for several years. Fill in the column for “minimum wage in 2020 $s." Year Minimum wage CPI Minimum wage in 2020 $s 1949 $0.40 23.8 1968 $1.60 34.8 1995 $4.25 152.4 2020 $7.25 259.1 2024 (proposed) $15 306 (projected) What was the 1949 minimum wage equivalent to in 2020 $s?
Economics
The reference base period for the CPI is 1982 – 1984. In April 2020, the CPI was 256.4 . What can we conclude from this information? The CPI in April 2020 tells us that the _______ of the prices paid by urban consumers for a fixed basket of consumer goods and services was _______. A. inflation rate; 156.4 percent per year B. inflation rate; 256.4 percent per year C. average; 256.4 percent higher in April 2020 than the average of 1982 – 1984 D. average; 156.4 percent higher in April 2020 than the average of 1982 – 1984
The table shows the quantities of the goods Suzie bought and the prices she paid during two consecutive weeks Suzie's CPI market basket contains the goods she bought in Week 1. Calculate the cost of Suzie's CPI market basket in Week 1 and in Week 2 What percentage of the CPI market basket is gasoline? Caledets th Simiala inte has indutin na nat Week 1 Item Coffee Books Gasoline Week 2 Hem Coffee Banke Quantity 15 cups 1 20 gallons Quantity 15 cups 2 Price $2.25 a cup $25.00 each $2.25 a gallon Price $2.25 a cup €1350 wach

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