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Price of X in 2000: 74

Price of Y in 2000: 37

Price of X in 2001: 2

Price of Y in 2001: 48

Price of X in 2002: 39

Price of Y in 2002: 74

The base year is

2001

The representative basket of consumer goods is 17 units of X and 84 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: 49%

Nominal interest rate in 2002: 64%

Find the real interest rate in both years



Scroll all the way down to see the solutions

















































CPI in 2000: 107.37825873094

CPI in 2001: 100

CPI in 2002: 169.18347270044

Inflation in 2001: -6.8712780577187%

Inflation in 2002: 69.183472700443%

Real interest rate in 2001: 59.9936055091%

Real interest rate in 2002: -3.063817415322%