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Price of X in 2000: 64

Price of Y in 2000: 99

Price of X in 2001: 3

Price of Y in 2001: 35

Price of X in 2002: 60

Price of Y in 2002: 29

The base year is

2002

The representative basket of consumer goods is 4 units of X and 63 units of Y.

Find the CPI for all 3 years.



Find the inflation rate in 2001 and 2002.

Extra problem (if you have completed Chapter 9):

Nominal interest rate in 2001: 86%

Nominal interest rate in 2002: 92%

Find the real interest rate in both years



Scroll all the way down to see the solutions

















































CPI in 2000: 314.126753749

CPI in 2001: 107.256894049

CPI in 2002: 100

Inflation in 2001: -65.8555367319%

Inflation in 2002: -6.76589986468%

Real interest rate in 2001: 444.744248985%

Real interest rate in 2002: 105.933236575%