Question

Be sure to show your calculations. Hair Cuts (millions)Average Hair Cut Fee Houses Produced Year Average House Price (millions) 1.00 $35.00 2018 $250,000 1,000 $35.10 2019 $258,000 1.02 1,010 Nominal price of a gallon of CPI CPI Market Nominal interest rate on a car Year Basket loan gas 1989 $2.00 150 $24,000 5% 165 $26,400 3% 1999 $2.10 175 $28,000 2% 2009 $2.25 255 $40,800 5% 2018 $2.50 265 $42,400 6% 2019 $2.55 D 问题1 What would would the price of gas from 1989 be when you put it in 2019 values? HTML BIUA A EE x x, E ST T 12pt

Answer 1

For year 2019 CPI: 265, Price of gas- 2.55f For year 1989 CPI 150 trice of gas at 2019 values to To keep up with the inflation prices, ratio of CPI should be equel to the ratio of prices that is 265 2.55 to 2.55x150 1498 150 265