A 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 $18 on juice and $24 on cloth. The price of juice in 2015 was $2 a bottle, and the price of cloth was $6 a yard. In 2016, juice is $3 a bottle and cloth is $4 a yard. Calculate the CPI in 2016 and the inflation rate between 2015 and 2016.

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A:

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A: here we calculate the price by using the CPI which are as follow-

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A: Аns  а:  The  bаskets  inсlude  the  соmmоdities  seleсted  fоr  соmрutаtiоn  оf  СРI.  If…

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A:

Q: Calculate the CPI for 2017

A:

Q: The goods included in the CPI change as spending habits change. Select one: O True False

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A: The new shirt cost can be calculated as follows:

Q: A Consumer Expenditure Survey in Sparta shows that people buy only juice and cloth. In 2015, the…

A: Number of juice bottle purchased in 2015 = 27/3 = 7 bottles yard of cloth purchased in 2015 = 20/5 =…

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Q: A Consumer Expenditure Survey in Sparta shows that people buy only juice and cloth. in 2015, the…

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