Tests for an ideal index number, Mathematics

Tests for an Ideal Index Number

1. Factor Reversal Test

Factor Reversal Test indicates that when the price index is multiplied along with a quantity index that is factors are reversed, it should result in the value index.

2. The time reversal test

If we reverse the time subscripts of a quantity or price index, the result must be reciprocal of the original index.

 

Posted Date: 2/18/2013 4:43:29 AM | Location : United States







Related Discussions:- Tests for an ideal index number, Assignment Help, Ask Question on Tests for an ideal index number, Get Answer, Expert's Help, Tests for an ideal index number Discussions

Write discussion on Tests for an ideal index number
Your posts are moderated
Related Questions
Given two functions f(x) and g(x) which are differentiable on some interval I  (1) If W (f,g) (x 0 ) ≠ 0 for some x 0 in I, so f(x) and g(x) are linearly independent on the int

Mr. Hoper is in charge of investments for the golden horizon company. He estimates from past price fluctuations in the gold market that the probabilities of price changes on a give

The mode - It is one of the measures of central tendency. The mode is defined as a value in a frequency distribution that has the highest frequency. Occasionally a single valu


A regression line drawn as Y=C+1075x, when x was 2, and y was 239, given that y intercept was 11. calculate the residual


One-to-one Correspondence :  Suppose you are given a certain number of cups and saucers, and are asked to find out whether there are enough saucers for all the cups. How would you

Evaluate following. ∫ 0 ln (1 + π )   e x cos(1-e x )dx Solution The limits are little unusual in this case, however that will happen sometimes therefore don't get

RATIONAL NUMBERS All numbers of the type p/q where p and q are integer and q ≠0, are known as rational. Thus  it can be noticed that every integer is a rational number

The temperature at 6 P.M. was 31°F. Through midnight, it had dropped 40°F. What was the temperature at midnight? Visualize a number line. The drop from 31° to 0° is 31°. There