Question

The following table reports prices and usage quantities for two items in 2009 and 2011. (Round your answers to the nearest integer.) Quantity Unit Price ($) Item 2009 2011 20092011 A 1,500 1,600 8.507.25 4 2 650.00 1,500.00 (a) Compute price relatives for each item in 2011 using 2009 as the base period Item Price Relative (b) Compute an unweighted aggregate price index for the two items in 2011 using 2009 as the base period 2011 (c) Compute a weighted aggregate price index for the two items using the Laspeyres method using 2009 as the base period. 2011 - (d) Compute a weighted aggregate price index for the two items using the Paasche method using 2009 as the base period 2011

Answer 1

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1. 2S c 117.2 413 => 11 The Pr:ce_ velaEve of.taw0% 20118, ẤKabelow In 14- ear 2011 (00 e heed bo ceufute an un wegli ajragake 20oa bai Perfod

lbai Pe-io Hems n 201, 25ISOO 8.5o 650 1 507-2S 20lI - 228 8911 >22 we had to Comfule, a we勺.bed a78ve0ak. Pejves meted iniion, using a 1 0

ersodt 2011 3.50 ( 1500) + 650 ( 2ノ (00 2150 130o t3 S 15 M05 160

aasc malled bae. Persod Ta we ·kd aậgvegate.Prfee-onden for th ear 2011, two euz 2011 、

X lo0 12. " -960(1600) + 6 5。 1 39 00-X 100 142 56