A Consumer Expenditure Survey in Sparta shows that people buy only juice and cloth. In 2018, the year of the Consumer Expenditure Survey and also the reference base year, the average household spent $20 on juice and $36 on cloth. The table sets out the prices of juice and cloth in 2018 and 2019. Calculate the CPI market basket and the percentage of the average household budget spent on juice in the reference base year. The CPI market basket is and C Prices Juice Cloth 2018 $2 a bottle $6 a yard 2019 $5 a bottle $7 a yard
A Consumer Expenditure Survey in Sparta shows that people buy only juice and cloth. In 2018, the year of the Consumer Expenditure Survey and also the reference base year, the average household spent $20 on juice and $36 on cloth. The table sets out the prices of juice and cloth in 2018 and 2019. Calculate the CPI market basket and the percentage of the average household budget spent on juice in the reference base year. The CPI market basket is and C Prices Juice Cloth 2018 $2 a bottle $6 a yard 2019 $5 a bottle $7 a yard
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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