Macroeconomics
13th Edition
ISBN: 9780134744452
Author: PARKIN, Michael
Publisher: Pearson,
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Question
Chapter 5, Problem 24APA
(a)
To determine
Determine the
(b)
To determine
Determine the CPI in the current year.
(b)
To determine
Determine the inflation rate in the current year.
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Students have asked these similar questions
A typical family on Sandy Island consumes only juice and cloth. Last year, which was the base year, the family spent $40 on juice and $20 on cloth. In the base year, juice was $4 a bottle and cloth was $5 a length. This year, juice is $8 a bottle and cloth is $2.5 a length. Calculate
a. The CPI basket.
b. The CPI in the current year.
c. The inflation rate in the current year.
I'm not sure if the final answer is 50 or -50, please help by showing the steps.
Don't answer by pen paper and don't use chatgpt otherwise we will give dounvote
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
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?
Calculate the value of Suzie's CPI in Week 2 and her
inflation 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 1
Item
The 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.
Coffee
Books
Gasoline
Week 2
Item
Coffee
Books
Gasoline
Concert
Quantity
13 cups
1
15 gallons
Quantity
13 cups
2
5 gallons
1 ticket
Price
$2.75 a cup
$30.00 each
$2.50 a gallon
Price
$2.75 a cup
$15.00 each
$3.00 a gallon
$95 each
Chapter 5 Solutions
Macroeconomics
Ch. 5.1 - Prob. 1RQCh. 5.1 - Prob. 2RQCh. 5.1 - Prob. 3RQCh. 5.1 - Prob. 4RQCh. 5.1 - Prob. 5RQCh. 5.2 - Prob. 1RQCh. 5.2 - Prob. 2RQCh. 5.2 - Prob. 3RQCh. 5.2 - Prob. 4RQCh. 5.2 - Prob. 5RQ
Ch. 5.2 - Prob. 6RQCh. 5.2 - Prob. 7RQCh. 5.3 - Prob. 1RQCh. 5.3 - Prob. 2RQCh. 5.3 - Prob. 3RQCh. 5.3 - Prob. 4RQCh. 5.3 - Prob. 5RQCh. 5.3 - Prob. 6RQCh. 5 - Prob. 1SPACh. 5 - Prob. 2SPACh. 5 - Prob. 3SPACh. 5 - Prob. 4SPACh. 5 - Prob. 5SPACh. 5 - Prob. 6SPACh. 5 - Prob. 7SPACh. 5 - Prob. 8SPACh. 5 - Prob. 9SPACh. 5 - Prob. 10SPACh. 5 - Prob. 11SPACh. 5 - Prob. 12APACh. 5 - Prob. 13APACh. 5 - Prob. 14APACh. 5 - Prob. 15APACh. 5 - Prob. 16APACh. 5 - Prob. 17APACh. 5 - Prob. 18APACh. 5 - Prob. 19APACh. 5 - Prob. 20APACh. 5 - Prob. 21APACh. 5 - Prob. 22APACh. 5 - Prob. 23APACh. 5 - Prob. 24APACh. 5 - Prob. 25APACh. 5 - Prob. 26APACh. 5 - Prob. 27APACh. 5 - Prob. 28APACh. 5 - Prob. 29APA
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- 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? Calculate the value of Suzie's CPI in Week 2 and her inflation rate in week 2. The cost of Suzie's CPI market basket in Week 1 is $ >>> Answer to 2 decimal places. m Week 1 Item Coffee Books Gasoline Week 2 Item Coffee Books Gasoline Concert Quantity 8 cups 1 25 gallons Quantity 8 cups 4 15 gallons 1 ticket Price $4.00 a cup $25.00 each $2.00 a gallon Price $4.00 a cup $12.50 each $2.50 a gallon $95 eacharrow_forwardA Consumer Expenditure Survey in Sparta shows that people buy only juice and cloth. In 2015, the year of the Consumer Expenditure Survey and also the reference base year, the average household spent $24 on juice and $20 on cloth. The price of juice in 2015 was $3 a bottle, and the price of cloth was $4 a yard. In 2016, juice is $4 a bottle and cloth is $3 a yard. Calculate the CPI in 2016 and the inflation rate between 2015 and 2016. 1- The CPI in 2016 is… 2- The inflation rate between 2015 and 2016 is ……percent.arrow_forwardThe people of Fort Worth buy only juice and cloth. The CPI market basket contains the quantities bought in 2009. The average household spent $60.00 on juice and $30.00 on cloth in 2009 when the price of juice was $2.00 a bottle and the price of cloth was $5.00 a yard. In the current year, 2010, juice is $4.00 a bottle and cloth is $6.00 a yard. Calculate the CPI and inflation rate in 2010. (Note: use formula for finding CPI = (total spending in current year/total spending in base year) x 100 for inflation use formula for change in CPI = (CPI current year – CPI base year/CPI base year) x 100arrow_forward
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