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boy32Table 1:
2011 Basket for ‘typical college student’ | 2012 Basket for ‘typical college student’
| ||||||
Item
| Price | Quantity | Item
| Price | Quantity | ||
BJC Concerts
| $60 | 7 | BJC Concerts | $80 | 4 | ||
Rent
| $900 | 1 | Rent | $900 | 1 | ||
Gasoline for car
| $20 | 6 | Gasoline for car
| $30 | 6 | ||
PSU Sporting Events
| $10 | 9 | PSU Sporting Events
| $7 | 14 | ||
Table 2:
2011 Basket for ‘typical college student’ | 2012 Basket for ‘typical college student’
| ||||||
Item
| Price | Quantity | Item
| Price | Quantity | ||
BJC Concerts
| $60 | 7 | BJC Concerts | $80 | 4 | ||
Rent
| $900 | 1 | Rent | $900 | 1 | ||
Gasoline for car
| $20 | 6 | Gasoline for car
| $30 | 6 | ||
PSU Sporting Events
| $10 | 9 | PSU Sporting Events
| $7 | 14 | ||
Assuming 2011 is the base year, fill out Table 1 on Exam Sheet 2 to answer this question.
Assuming 2011 is the base year, what is the price index in 2012 and the inflation rate for the ‘typical college student’ between 2011 and 2012?
Assuming 2012 is the base year, fill out Table 2 on Exam Sheet 2 to answer this question.
Assuming 2012 is the base year, what is the price index in 2011 and the inflation rate for the ‘typical college student’ between 2011 and 2012?
Why is your answer in Question 10 above different than your answer in Question 9? Be as specific as possible explaining why the typical college student behaved the way they did.
13 years ago
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