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- What is the Inflation factor?The following table shows the typical market basket consumed in an economy as well as data on price for years 2001 to 2003. Use this table to calculate the inflation rate between 2001 and 2002. 2003 is the base year. Price in year Price in year Price in Year Items Quantities 2001 2002 2003 Pizza $10 $20 $0.50 $12 $25 $0.55 $11 $26 $1 10 T-shirts 10 Candy 100Identifying costs of inflation
- Suppose the annual nominal interest rate is 7 percent and the inflation rate is 7 percent. If you deposit $1,000 in an interest-bearing checking account, at the end of the year: Multiple Choice your purchasing power will have decreased. your purchasing power will have increased. your savings will have a nominal decrease your purchasing power will have stayed the same.The CPI for 2014 was 236.736. The percent increase in consumer prices was 2014 to 2015 was 0.8%. Find the CPI for 2015.The consumer price index (CPI) has increased from 80 to 88. Calculate the inflation rate.
- What are the types of Inflation? Identify the percentage rate of price increase per type.Find inflation rate if real interest rate is 3% and nominal interest rate is 4.3%Name Owner File size Location 5. In December 2023, the CPI-U for all items was 306.746. Five years earlier, in December 2018, the CPI-U was 251.233. What was the percentage increase in the CPI-U during those five years?