Exam 20: Index Numbers

Consider the following data on personal savings and prices. Find the deflated savings for these years and comment on the result.

An index that is designed to measure changes in quantities over time is the

An electronics and appliance store sells three different brands of DVD recorders. The three brands sold by the store are Brand A, Brand B, and Brand C. The unit prices for the years 2005 and 2010, with the volume of sales (units sold) for 2005, are given below. a.Compute an unweighted aggregate price index for DVD recorders with 2005 as the base period. b.Compute a weighted aggregate price index (Laspeyres index) for 2010 with 2005 as the base period.

Below you are given the price of coffee by pound from 2006 to 2010 and the consumer price index with a 2006 base. Deflate the series.

The price relative is a price index that is determined by

The prices for a kilowatt hour of electricity for the years 2010 through 2013 are given below. Determine the price relatives for the years 2010 through 2013. Let 2010 be the base.

Consumer Price Index is

Exhibit 17-2 You are given the following information about items X, Y, and Z. -Refer to Exhibit 17-2. The price relative for item Y is

The price relative is computed by dividing

In 1995 the price of a pound of ground beef was $1.25. By 2010, the price had increased to $2.50. The price relative is

An automobile dealership sells 3 different types of automobiles. Unit prices for the years 2005 and 2010 are shown below. Compute an unweighted aggregate price index for the automobiles.

A pet store specializes in breeding and selling small dogs. Below you are given the prices they charged for various breeds in 2005 (base period) and 2010 (current period), with the associated number of dogs sold in 2010 (current period). a.Compute an unweighted aggregate price index for 2010 using 2005 as the base period. b.Compute a weighted aggregate price index (Paasche index) for 2010.