Compute 2 measures for inflation rate (%) from 2013 to 2021 (over 8 years, not annual rate): one based on GDP deflator and the other based on CPI.         GDP Deflator  CPI    Inflation rate     (Base Year = 2013)          Which inflation rate seems to overstate inflation?  (i) the one based on GDP deflator  (ii) the one based on CPI

Principles of Economics 2e
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ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter22: Inflation
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. Compute 2 measures for inflation rate (%) from 2013 to 2021 (over 8 years, not annual rate): one based on GDP deflator and the other based on CPI.     

  

GDP Deflator 

CPI 

  Inflation rate     (Base Year = 2013) 

  

  

 

  1. Which inflation rate seems to overstate inflation? 

(i) the one based on GDP deflator 

(ii) the one based on CPI 

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