ECS2603 Assignment 4 Semester 2 2023 (Solutions/answers)
questions:
Question 1
Answer saved
Marked out of 3.00
Flag question
Question text
Which of the following statements with regards to inflation are correct?
Inflation is defined as a sustained increase in the general price level. This...
Question text
Which of the following statements with regards to inflation are correct?
Inflation is defined as a sustained increase in the general price level. This implies that for inflation to occur, it is
sufficient for only the price of oil to increase.
Inflation is a sustained increase in the general price level. This means that there is an overall increase in the prices of
most goods and services.
Inflation is a sustained increase in the general price level. This implies that for inflation to occur, all prices must
increase.
To measure inflation, a yardstick is needed of the general price level and an appropriate period for measuring
changes in the yardstick.
Question 2
Answer saved
Marked out of 3.00
Flag question
Question text
Year Price of lamb Index value
per kg (2012 = 100)
2010 120
2011 122
2012 126
2013 123
2014 124
What is the index value (one decimal point) for 2013?
97.6
Answer:
Question 3
Answer saved
Marked out of 12.00
Flag question
Question text
Complete the following table (one decimal point) and answer the questions:
Index
Price of value
Year lamb per
kg (2012 =
100)
, 2010 118
2011 122
2012 126
2013 124
2014 130
An index number is the ratio of the value of a variable or group of variables at a given time or during a specified
period to its value at a base time or during a base period.
True
False
The frequency of the index numbers is yearly.
True
False
The index is an example of a specific index.
True
False
The index value (one decimal point) for 2014 is
103.2
Answer
In the year that the index value was the highest the price of lamb per kg was the highest.
True
False
The biggest percentage increase in the price of lamb was in
3.28
Answer
Question 4
Answer saved
Marked out of 2.00
Flag question
Question text
Deflation is a decrease in the general price level of goods and services
True
False
Clear my choice
Question 5
Answer saved
Marked out of 2.00
Flag question
Question text
The CPI is an index of prices of all consumer goods and services.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller itsbesttutors. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.84. You're not tied to anything after your purchase.
