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  1. Topics
  2. Business
  3. Macroeconomics Study Set 18
  4. Quiz 2: The Measurement and Structure of the National Economy

If the Price Index Last Year Was 1

Question 65
Multiple Choice

If the price index last year was 1.0 and today it is 1.4,what is the inflation rate over this period? A)-4% B)1.4% C)4% D)40%

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Q 66
You are given information on the consumer price index (CPI),where the values given are those for December 31 of each year. In which year was the inflation rate the highest? A)2006 B)2007 C)2008 D)2009
Q 67
The consumer price index (CPI)was 180 for 2009 when using 1995 as the base year (1995 = 100).Now suppose we switch and use 2009 as the base year (2009 = 100).What is the CPI for 1995 with the new base year? A)18.0 B)55.6 C)80.0 D)111.2
Q 68
Nominal government purchases were $2226.2 billion in 2008 and rose to $2372.8 billion in 2009.Real government purchases were $1940.6 for 2008 and $1958.0 for 2009,where 2005 was the base year.Calculate the percent change in the chain-weight price index for government purchases (rounded to the nearest percentage point)from 2008 to 2009. A)2% B)4% C)6% D)8%
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