Business, 13.11.2019 23:31 matthewmalte7329

Government survey takers determine that typical family expenditures each month in the year designated as the base year are as follows:
• 25 pizzas, $10 each
• apartment rent, $600 per month
• gasoline and car maintenance, $100 per month
• phone service (basic service plus 10 long-distance calls), $50 per month
in the year following the base year, the survey takers determine that pizzas have risen to $11 each, apartment rent is $610, gasoline and maintenance costs are $115, and phone service has dropped in price to $40.
instructions: enter your responses by rounding the cpi to three decimal places and the rate of inflation to one decimal place.
a. find the cpi in the subsequent year and the rate of inflation between the base year and the subsequent year.
cpi: .
rate of inflation: %.
b. the family’s nominal income rose by 5 percent between the base year and the subsequent year. are they worse off or better off in terms of what their income is able to buy?
the family is (click to select)still in the same positionbetter offworse off.

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Government survey takers determine that typical family expenditures each month in the year designate...

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