# Macroeconomics Australia Study Set 1

## Quiz 7 :The Cpi and the Cost of Living

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The formula for the CPI is
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B

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-Based on the table above, the CPI for 2018 is
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D

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-The data in the table above show the consumption by families in a small (poor) economy. The families consume only salt and bread. The reference base period is 2011. The CPI in 2011 is
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D

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-The data in the table above show the consumption by families in a small (poor) economy. The families consume only salt and bread. The reference base period is 2011. The inflation rate between 2011 and 2012 was
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To find the cost of the CPI market basket in the base period prices we have to multiply the
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The Consumer Price Index market basket contains
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The reference base period for the CPI has an index number of
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-Based on the table above, the cost of the base period market basket in the base period is
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What good or service is given the most weight in the CPI?
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The Consumer Price Index measures the average prices paid by
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Suppose that last year the price of strawberries was $2 and the price of milk was$1. This year, the price of milk is $2 and the price of strawberries is$1. Which of the following statements is true?
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-Based on the table above, the cost of the base period market basket in 2018 is
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Constructing the CPI involves which of the following stages? i. Conducting the quarterly price survey ii. Converting the CPI to an international index iii. Selecting the CPI market basket
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-The table above gives the CPI for a nation. Based on the table, we can determine that the reference base period is
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Which of the following changes would have the largest impact on the CPI?
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The CPI is a measure of the
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If the cost of the CPI market basket at current period prices is $275 and the cost of the CPI market basket at base period prices is$350, the CPI is
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-The data in the table above show the consumption by families in a small (poor) economy. The families consume only salt and bread. The reference base period is 2011. The CPI in 2012 is
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The CPI market basket is determined by
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