Correct Answer:
B
CPI of 270 means, any product that was available in $100 in the base year, is now available in $270.
4. Suppose that 1982 is the base year for the Consumer Price Index (CPI) and in 2019 the CPI is 270. What does this...
Suppose the consumer price index (CPI) for 2000 is 130. This means the average prices of goods and services are: Select one: a. 130 percent more in the base year than in 1995. b. currently $30, because $130 - $100 = $30. c. 30 percent more in 2000 than in the base year. d. 130 percent more in 2000 than in the base year.
Suppose that the consumer price index (CPI) was 200 in 2018 and 208.2 in 2019. What was the inflation rate between 2018 and 2019? A. zero B. 4.28% C. 8% D. -4.28% E. -4.10% F. 4.10%
The Consumer Price Index (CPI) is a measure of the change in the cost of goods over time. If 1982 is used as the base year of comparison in some country (CPIequals100 in 1982), then the CPI of 200.8 in 2006 would indicate that an item that cost $ 1.00 in 1982 would cost $ 2.01 in 2006 in this country. It is known that the CPI in this country has been increasing at an approximately linear rate for the...
ASSIGNMENT #5 9. One way the consumer price index (CPI) differs from the GDP chain price index is that the CPI: uses current year quantities of goods and services b. a. includes separate market baskets of goods and services for both base and current years. includes only goods and services bought by typical urban consumers. d. C. is bias free. 10. Suppose a market basket of goods and services costs $1,000 in the base year and the consumer price index...
The Consumer Price Index is not considered a complete “cost of living” index. The CPI does NOT include which of the following items (there may be more than one correct answer): A. Sales taxes B. Imported goods C. Cost of housing D. Stock market prices E. Cost of business machinery F. Personal income taxes
Question 64 A Consumer Price Index of 120 for a certain year compared to the base year (1982-84) means that the average price of consumer items in that year was 120% higher than the average price in the base period 1982-84. about $120 per basket of consumer goods and services 20% higher than the average price of the preceding year. 20% higher than the average price in the base period 1982-84 Moving to another question will save this response. 40...
3. The Consumer Price Index (CPI) represents the average price of goods that households consume. Many thousands of goods are included in such an index. Here consumers are repre- sented as buying only food (pizza) and gas as their basket of goods. Below is a representation of the kind of data the Bureau of Economic Analysis (BEA) collects to construct a consumer price index. In the base year, 2008, both the prices of goods purchased and the quantity of goods...
(a) What is the CPI in 2015, 2016, and 2017 if 2015 is the
base year?
(b) What is the (CPI) inflation 2015-2016 and 2016-2017?
(c) How does CPI differ in 2015 and 2016 if 2016 is the base
year?
(d) What effect does this have on your calculation of (CPI)
inflation between 2015-
3. Suppose you are told that a basket of goods to calculate a consumer price index contains the following items: 4 apples and 2 bottles of...
Suppose that the Consumer Price Index (CPI), a widely used measure of inflation in the U.S., rose from 100 in one year to 120 during the next year. The rate of inflation between the two (2) years is A. 120%. B. 220%. C. 20%. D. Cannot be determined without further information.
Use the table below on the Canadian Consumer Price Index (CPI) to answer the following questions. The base year is 2002. (1 mark each) YEAR 2014 2015 2016 2017 2018 CPI 125.2 126.6 128.4 130.4 133.4 136.0 2019 1. How much is the CPI in 2002? 2. Which year had the highest inflation rate? What was the inflation rate in that year? 3. What was the inflation rate in 2019?