Answered: If the price level rises from 100 to…

If the price level rises from 100 to 102 over a year, then The Inflation Rate is 2% = 1102 - 1002>100 = 0.02. could you explain what are 1102-1002 from this numbers come ?

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 16RQ: What has been a typical range of inflation in the U.S. economy in the last decade or so?

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Question

 If the price level rises from 100 to 102 over a year, then
The Inflation Rate is 2% = 1102 - 1002>100 = 0.02.

could you explain what are 1102-1002

from this numbers come ?

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