-If 2009 is the base year, what is the price index for a market basket of goods for 2010 in the above table?
A) 97.3
B) 102.8
C) 128.0
D) Zero, since the price of CDs fell and the price of gasoline increased

Question

-If 2009 is the base year, what is the price index for a market basket of goods for 2010 in the above table?
A) 97.3 
B) 102.8 
C) 128.0 
D) Zero, since the price of CDs fell and the price of gasoline increased

Quizplus · Accepted Answer

The price index is calculated by comparing the cost of the market basket in 2010 to the cost in the base year, 2009. A price index of 102.8 indicates a 2.8% increase in the price level from the base year.

-If 2009 Is the Base Year, What Is the Price