What do the cpi and the ppi measure

Assignment Help Econometrics

Reference no: EM131309109

1. What do the CPI and the PPI measure? Why do we need both of these price indexes? (Think about what purpose you would use each one for.)

2. The consumer price index (CPI) is a fixed-weight index. It compares the price of a fixed bundle of goods in one year with the price of the same bundle of goods in some base year. Calculate the price of a bundle containing 100 units of good X, 150 units of good Y, and 25 units of good Z in 2008, 2009, and 2010. Convert the results into an index by dividing each bundle price figure by the bundle price in 2008. Calculate the percentage change in your index between 2008 and 2009 and again between 2009 and 2010. Was there inflation between 2009 and 2010?

Reference no: EM131309109

Questions Cloud

What is level 0 protective clothing and ppe : How much exhaust ventilation is required to maintain safety hazards below explosive levels?How much exhaust ventilation is required to maintain health hazards below OSHA-specified action levels?How many plant area room changes would be the level of..

Evaluate the quality of internet resources : Search for news about a company that interests you. Use the questions for "Evaluating Web Resources," and submit a brief summary of your analysis.

How might capacity be measured : How might capacity be measured? In what ways is capacity limited by labor constraints and by capital constraints? What are the consequences if demand in the economy exceeds capacity? What signs would you look for?

Write this query without using a join operator : Write a query that retrieves student.last_name, student.first_name and total number of enrollments from the student and enrollment tables. Write this query without using a join operator.

What do the cpi and the ppi measure : What do the CPI and the PPI measure? Why do we need both of these price indexes? (Think about what purpose you would use each one for.)

Are your state''s experiences same as rest of the country : Are your state's experiences the same as the rest of the country? Provide an explanation of why your state's experiences are the same as or different from the rest of the country.

Can tech give the fashion industry a sustainability makeover : General fabric research - Nike and Adidas show cautious support for eco-friendly dye technology. Can tech give the fashion industry a sustainability makeover

What is the unemployment rate in your state today : Suppose all wages, salaries, welfare benefits, and other sources of income were indexed to inflation. Would inflation still be considered a problem? Why or why not?

Distinguish between high and low quality : Distinguish between high- and low-quality Internet sources.- Use the questions in "Evaluating Web Resources" to determine the quality of the information.

User Account

All Pages