Table 13-8
$$\begin{array} { | c | c | }
\hline \text { Year } & \begin{array} { c }
\text { CPI } \
( \mathbf { 1 9 8 2 } - \mathbf { 1 9 8 4 } = \mathbf { 1 0 0 } )
\end{array} \
\hline 2012 & 100 \
\hline 2013 & 120 \
\hline
\end{array}$$
-Refer to Table 13-8.Suppose that the data in the table above reflect the price levels in the economy.What is the inflation rate in between 2012 and 2013?
A)2%
B)5%
C)10%
D)12%
E)20%

Question

Table 13-8
 $$\begin{array} { | c | c | } 
\hline \text { Year } & \begin{array} { c } 
\text { CPI } \
( \mathbf { 1 9 8 2 } - \mathbf { 1 9 8 4 } = \mathbf { 1 0 0 } )
\end{array} \
\hline 2012 & 100 \
\hline 2013 & 120 \
\hline
\end{array}$$
-Refer to Table 13-8.Suppose that the data in the table above reflect the price levels in the economy.What is the inflation rate in between 2012 and 2013?
A)2%
B)5%
C)10%
D)12%
E)20%

Quizplus · Accepted Answer

The inflation rate is calculated as the percentage change in the CPI from one year to the next. The CPI increased from 100 in 2012 to 120 in 2013, which is a 20% increase.

Table 13-8 -Refer to Table 13-8