ECONOMICS
BUSINESS CYCLES
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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9.86%
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8.97%
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9.76%
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10.16%
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None of the answers
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Detailed explanation-1: -First, subtract the CPI from the beginning date (A) from the later date (B), and divide it by the CPI for the beginning date (A). Then multiply the result by 100 to get the inflation rate percentage.
Detailed explanation-2: -The inflation rate is calculated as the percentage change in the price index from year to year. For example, the inflation rate between 2001 and 2002 is (84.61 – 69.71) / 69.71 = 0.2137 = 21.37%.
Detailed explanation-3: -Chained CPI is an alternative measurement that takes into account how consumers adjust spending for similar items. Chained inflation averaged 2.26% per year between 2000 and 2001, a total inflation amount of 2.26%.
Detailed explanation-4: -Tally all expenses from your bank and credit card statements in the past 12 months, as well as for the prior 12-month period. Subtract the totals and divide by the first year’s spending. Multiply that number from step 2 by 100 to determine your personal annual inflation rate. 07-Jul-2022