Suppose we shopped for a basket of goods in Year 1 and it cost $500. Suppose the same basket of goods adds up to $685 in Year 2. If we use Year 1 as a base year, what would be the Year 2 CPI?
Suppose we shopped for a basket of goods in Year 1 and it cost $500. Suppose the same basket of goods adds up to $685 in Year 2. If we use Year 1 as a base year, what would be the Year 2 CPI?
Chapter13: Inflation
Section: Chapter Questions
Problem 2SQP
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Suppose we shopped for a basket of goods in Year 1 and it cost $500. Suppose the same basket of goods adds up to $685 in Year 2.
If we use Year 1 as a base year, what would be the Year 2 CPI?
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