\[\begin{array} { l c c c } { \text { Item } } & \begin{array} { c } \text { Quantity } \\ ( 2000 ) \end{array} & \begin{array} { c } \text { Price } \\ ( 2000 ) \end{array} & \begin{array} { l } \text { Price } \\ ( 2010 ) \end{array} \\ \hline \text { Movie tickets } & 4 & \$ 5.00 & \$ 7.50 \\ \text { Bags of popcorn } & 2 & \$ 3.00 & \$ 3.00 \\ \text { Cups of Mt. Dew } & 4 & \$ 1.00 & \$ 1.50 \\ \hline \end{array}\] -The information in the above table gives the 2000 base period market basket and prices used to construct the CPI for a small nation.The table also has 2010 prices.What is the value of the CPI for the base period 2000?

A) 140 B) 133 C) 100 D) 75 E) 30 A) 140 B) 133 C) 100 D) 75 E) 30

\[\begin{array} { l c c c c } { \text { Item } } & \begin{array} { c } \text { Quantity } \\ ( 2009 ) \end{array} & \begin{array} { c } \text { Price } \\ ( 2009 ) \end{array} & \begin{array} { c } \text { Quantity } \\ ( 2010 ) \end{array} & \begin{array} { c } \text { Price } \\ \mathbf { ( 2 0 1 0 ) } \end{array} \\ \hline \text { Sneakers } & 2 & \$ 55 & 2 & \$ 60 \\ \text { Manicures } & 1 & \$ 35 & 1 & \$ 40 \\ \hline \end{array}\] -Consumers in a country buy only two goods, sneakers and manicures.The prices and quantities purchased by urban households are in the table above.The reference base year is 2009.For these data, the CPI for 2009 is

A) 3. B) 100. C) 160. D) 110. E) 145. A) 3. B) 100. C) 160. D) 110. E) 145.

\[\begin{array} { l c c c c } { \text { Item } } & \begin{array} { c } \text { Quantity } \\ ( 2009 ) \end{array} & \begin{array} { c } \text { Price } \\ ( 2009 ) \end{array} & \begin{array} { c } \text { Quantity } \\ ( 2010 ) \end{array} & \begin{array} { c } \text { Price } \\ \mathbf { ( 2 0 1 0 ) } \end{array} \\ \hline \text { Sneakers } & 2 & \$ 55 & 2 & \$ 60 \\ \text { Manicures } & 1 & \$ 35 & 1 & \$ 40 \\ \hline \end{array}\] -Consumers in a country buy only two goods, sneakers and manicures.The prices and quantities purchased by urban households are in the table above.The reference base year is 2009.The inflation rate between 2009 and 2010 is

A) $15. B) 15.0 percent. C) $10. D) 10.3 percent. E) 9.0 percent. A) $15. B) 15.0 percent. C) $10. D) 10.3 percent. E) 9.0 percent.

Exam 7: The Cpi and the Cost of Living

Item Quantity (2000) Price (2000) Price (2010) Movie tickets 4 \ 5.00 \ 7.50 Bags of popcorn 2 \ 3.00 \ 3.00 Cups of Mt. Dew 4 \ 1.00 \ 1.50 -The information in the above table gives the 2000 base period market basket and prices used to construct the CPI for a small nation.The table also has 2010 prices.What is the value of the CPI for the base period 2000?

(Multiple Choice)

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Question 161

Item Quantity (2009) Price (2009) Quantity (2010) Price Sneakers 2 \ 55 2 \ 60 Manicures 1 \ 35 1 \ 40 -Consumers in a country buy only two goods, sneakers and manicures.The prices and quantities purchased by urban households are in the table above.The reference base year is 2009.For these data, the CPI for 2009 is

(Multiple Choice)

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Question 162

Each month the CPI is calculated by

(Multiple Choice)

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Question 163

-The table above has information about the CPI, nominal wage rate, and nominal interest rate for the country of Syldavia for the years 2009 to 2011.The reference base year is 2009.The inflation rate in Syldavia from 2009 to 2010 was

(Multiple Choice)

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Question 164

When the price of, say, a package of rice changes, what must the BLS do next?

(Multiple Choice)

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Question 165

Item Quantity (2009) Price (2009) Quantity (2010) Price Sneakers 2 \ 55 2 \ 60 Manicures 1 \ 35 1 \ 40 -Consumers in a country buy only two goods, sneakers and manicures.The prices and quantities purchased by urban households are in the table above.The reference base year is 2009.The inflation rate between 2009 and 2010 is

(Multiple Choice)

4.8/5

(77)

Question 166

A country reports the total expenditures on the fixed CPI basket for the past three years.The cost of the CPI basket in 2008 was $23,000, the cost of the CPI basket for the base period, 2009, was $23,805, and the cost of the CPI basket in 2010 was $24,500.The CPI for 2010 is

(Multiple Choice)

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Question 167

When discussing the CPI, the term "commodity substitution bias" refers to changes in

(Multiple Choice)

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Question 168

If higher prices cause buyers to shop at discount stores, the CPI has

(Multiple Choice)

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Question 169

During this year, nominal GDP in Syldavia was $720 billion and real GDP was $720 billion.The GDP price index in Syldavia in this year was

(Multiple Choice)

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Question 170

A consequence of the CPI bias is that it

(Multiple Choice)

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Question 171

If for a given year nominal GDP is $2000 billion and real GDP is $1500 billion, then the GDP price index is

(Multiple Choice)

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Question 172

If the price index last year was 100 and today it is 167, what is the inflation rate over this period?

(Multiple Choice)

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Question 173

The inflation rate measures the

(Multiple Choice)

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Question 174

If the CPI this year is 175.2 and next year the CPI is 176.1, what was the inflation rate over the year?

(Essay)

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Question 175

What are the three stages of constructing the CPI?

(Essay)

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Question 176

During periods when the inflation rate is positive, how does the real interest rate compare to the nominal interest rate?

(Essay)

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Question 177

In the United States between 1979 and 2009, the inflation rate

(Multiple Choice)

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Question 178

In the United States for the last 40 years, the nominal interest rate

(Multiple Choice)

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Question 179

An example of the commodity substitution bias in the calculation of the CPI is a price increase in

(Multiple Choice)

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Question 180

Each month the CPI is calculated by

-The table above has information about the CPI, nominal wage rate, and nominal interest rate for the country of Syldavia for the years 2009 to 2011.The reference base year is 2009.The inflation rate in Syldavia from 2009 to 2010 was

When the price of, say, a package of rice changes, what must the BLS do next?

A country reports the total expenditures on the fixed CPI basket for the past three years.The cost of the CPI basket in 2008 was $23,000, the cost of the CPI basket for the base period, 2009, was $23,805, and the cost of the CPI basket in 2010 was $24,500.The CPI for 2010 is

When discussing the CPI, the term "commodity substitution bias" refers to changes in

If higher prices cause buyers to shop at discount stores, the CPI has

During this year, nominal GDP in Syldavia was $720 billion and real GDP was $720 billion.The GDP price index in Syldavia in this year was

A consequence of the CPI bias is that it

If for a given year nominal GDP is $2000 billion and real GDP is $1500 billion, then the GDP price index is

If the price index last year was 100 and today it is 167, what is the inflation rate over this period?

The inflation rate measures the

If the CPI this year is 175.2 and next year the CPI is 176.1, what was the inflation rate over the year?

What are the three stages of constructing the CPI?

During periods when the inflation rate is positive, how does the real interest rate compare to the nominal interest rate?

In the United States between 1979 and 2009, the inflation rate

In the United States for the last 40 years, the nominal interest rate

An example of the commodity substitution bias in the calculation of the CPI is a price increase in

Getting Started

The Usand Global Economies

The Economic Problem

Demand and Supply

Gdp: a Measure of Total Production and Income

Jobs and Unemployment

Potential Gdp and the Natural Unemployment Rate

Economic Growth

Finance, Saving, and Investment

The Monetary System

Money, Interest, and Inflation

Aggregate Supply and Aggregate Demand

Aggregate Expenditure Multiplier

The Short-Run Policy Tradeoff

Fiscal Policy

Monetary Policy

International Trade Policy

International Finance

Filters