Recall that the Consumer Price Index (CPI) is a measure of inflation reached by comparing current prices with base prices in 1982–84. However, it is a mistake to interpret a change in the CPI as the actual percent of inflation. For example, from 2013 to 2014, the CPI for candy and chewing gum rose from 138.5 to 141.2. However, the rate of inflation for these items was only $ 141.2 − 138.5 138.5 ≈ 0.019 = 1.9 % .For Exercises 71–74, use the given information to fill in the missing items in the table Item CPI for Item in 2005 CPI for Item in 2015 Percent of Increase Ice cream 179.1 221.8 _ _ _
Recall that the Consumer Price Index (CPI) is a measure of inflation reached by comparing current prices with base prices in 1982–84. However, it is a mistake to interpret a change in the CPI as the actual percent of inflation. For example, from 2013 to 2014, the CPI for candy and chewing gum rose from 138.5 to 141.2. However, the rate of inflation for these items was only $ 141.2 − 138.5 138.5 ≈ 0.019 = 1.9 % .For Exercises 71–74, use the given information to fill in the missing items in the table Item CPI for Item in 2005 CPI for Item in 2015 Percent of Increase Ice cream 179.1 221.8 _ _ _
Solution Summary: The author explains how the CPI for Ice cream rose from 179.1 to 221.8 from 2005 to 2015.
Recall that the Consumer Price Index (CPI) is a measure of inflation reached by comparing current prices with base prices in 1982–84. However, it is a mistake to interpret a change in the CPI as the actual percent of inflation. For example, from 2013 to 2014, the CPI for candy and chewing gum rose from 138.5 to 141.2. However, the rate of inflation for these items was only
$
141.2
−
138.5
138.5
≈
0.019
=
1.9
%
.For Exercises 71–74, use the given information to fill in the missing items in the table
In the last three years, there have been changes of 55%, 3% and 2% in the production amount of a good, respectively. What is the geometric mean of the annual rate of change?
During what years did home prices decrease? increase?
Chapter 8 Solutions
Mathematics All Around Plus MyLab Math -- Title-Specific Access Card Package (6th Edition)
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