Assuming the base period for 2010 consumption is November and the initial price index is set at

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Assuming the base period for 2010 consumption is November and the initial price index is set at 100, then the inflation rate after calculating the December price index as a Laspeyres index is closest to:

A. 19.2 percent.

B. 36.4 percent.

C. 61.6 percent.

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Economics For Investment Decision Makers

ISBN: 9781118111963

1st Edition

Authors: Sandeep Singh, Christopher D Piros, Jerald E Pinto

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Question Posted: Mar 09, 2024 11:02 AM

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Assuming the base period for 2010 consumption is November and the initial price index is set at

Question:

Consumption Baskets and Prices over Two Months Date November 2010 December 2010 Goods Quantity Price Quantity Price Sugar 70 kg 0.90/kg 120 kg 1.00/kg Cotton 60 kg 0.60/kg 50 kg 0.80/kg

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Economics For Investment Decision Makers

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