The following data indicate the price indices of lumber (price index for the base period (1982-1984 = 100) during the last 10 years: Period Price Index 2001 164.5 2011 185.1(a) If the base period (price index= 100) is reset to the year 2001, compute the inflation rate for lumber between 2001 and 2009.(b) If the past trend is expected to continue, how would you estimate the price of lumber in 2014?

The following data indicate the price indices of lumber (price index for the base period (1982-1984 = 100) during the last 10 years: Period Price Index 2001 164.5 2011 185.1(a) If the base period (price index= 100) is reset to the year 2001, compute the inflation rate for lumber between 2001 and 2009.(b) If the past trend is expected to continue, how would you estimate the price of lumber in 2014?

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter13: Inflation

Section: Chapter Questions

Problem 2SQP

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