2. Using the CPIs from “B” why is the percent change in prices from Year 3 to Year 4 NOT 25%? What is the actual percentage increase? Explain.
2. Using the CPIs from “B” why is the percent change in prices from Year 3 to Year 4 NOT 25%? What is the actual percentage increase? Explain.
Chapter17: Inflation
Section: Chapter Questions
Problem 5SQ
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Question
- What is the percentage increase in
prices based off the given CPIs below?
Year 1=100, Year 2=120, Year 3=125, Year 4=150, Year 5=165.
2. Using the CPIs from “B” why is the percent change in prices from Year 3 to Year 4 NOT 25%? What is the actual percentage increase? Explain.
ANSWER QUESTION 2
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