In year 1 the CPI is 181, and in year 2 the CPI is 195. If Dennis's salary was $95,000 in year 1, what is the minimum salary he must earn in year 2 to "keep up with inflation"?

Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter13: Inflation
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In year 1 the CPI is 181, and in year 2 the CPI is 195.
If Dennis's salary was $95,000 in year 1, what is the
minimum salary he must earn in year 2 to "keep up
with inflation"?
Transcribed Image Text:In year 1 the CPI is 181, and in year 2 the CPI is 195. If Dennis's salary was $95,000 in year 1, what is the minimum salary he must earn in year 2 to "keep up with inflation"?
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