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Inflation (RPI) - another imperative channel. Oil is a necessity for the UK, and is price inelastic therefore one can analyse the correlation between a price shock and inflation. It is to be expected that an increase in the price of oil would lead to increased inflation, which would then impose pressures onto GDP. Thus it is of vital importance to observe the relationship between oil and inflation. The data is given as the quarterly rate of change from the previous 12 months.
The prices of fresh fruits have risen recently in the Jackson area. Why would this have occurred? Explain.
Define the term- inflation Inflation between two points in time is defined as the percentage increase of price index between these two points in time.
#question.distinguish between economic growth and economic development.
Q. What do you mean by Price index? Because we are only interested in percentage change of the price level and not particular value, we can divide every price level by a given
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