2. Given the following data:Commodity TypeP2016P2018Quantity (Qo)Rice9,00011,00050Soya Been12,00015,00040Coffee13,00016,00030Мeat20,00022,00025Chocolate18,00020,00020a) Calculate using Laspeyres Index!b) How are the conditions in 2018 compared to 2016?

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Commodity Type P2016 P2018 Quantity (Qo) Rice 9,000 11,000 50 Soya Been 12,000 15,000 40 Coffee 13,000 16,000 30 Meat 20,000 22,000 25 Chocolate 18,000 20,000 20 )Calculate using Laspeyres Index! ) How are the conditions in 2018 compared to 2016?

Commodity Type P2016 P2018 Quantity (Qo) Rice 9,000 11,000 50 Soya Been 12,000 15,000 40 Coffee 13,000 16,000 30 Meat 20,000 22,000 25 Chocolate 18,000 20,000 20 )Calculate using Laspeyres Index! ) How are the conditions in 2018 compared to 2016?

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter22: Inflation

Section: Chapter Questions

Problem 6SCQ: The Consumer Price Index is subject to the substitution bias and me quality/new goods bias. Are the...

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Question

2. Given the following data:
Commodity Type
P2016
P2018
Quantity (Qo)
Rice
9,000
11,000
50
Soya Been
12,000
15,000
40
Coffee
13,000
16,000
30
Мeat
20,000
22,000
25
Chocolate
18,000
20,000
20
a) Calculate using Laspeyres Index!
b) How are the conditions in 2018 compared to 2016?

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