III. In a particular very small region, the consumer price index, C, depends on the current valuc of gross regional domcstic expenditure E, number of pcople living in poverty P, and the average number of household members in a family F, by the following formula: e-Ep C = 100 + F If it is known that the gross regional domestic expenditure is decreasing at a rate of PHP 50 per year, and the number of people living in poverty and the average number of household members in a family are increasing at 3 and 1 per year, resp., how fast does the consumer price index change per year at the moment when E = 1,000, P = 200, and F = 5?

III. In a particular very small region, the consumer price index, C, depends on the current valuc of gross regional domcstic expenditure E, number of pcople living in poverty P, and the average number of household members in a family F, by the following formula: e-Ep C = 100 + F If it is known that the gross regional domestic expenditure is decreasing at a rate of PHP 50 per year, and the number of people living in poverty and the average number of household members in a family are increasing at 3 and 1 per year, resp., how fast does the consumer price index change per year at the moment when E = 1,000, P = 200, and F = 5?

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter7: Production And Growth

Section: Chapter Questions

Problem 5CQQ

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