Price of Basketballs Quantity of Basketballs Price of Footballs Quantity of Footballs Year Year 1 10 120 12 200 Year 2 12 200 15 300 180 Year 3 14 18 275

3. An economist has predicted that for the next 5 years, the U.S. will have a 2.5% annual inflation rate, followed by 5 years at a 3.5% inflation rate. This is equivalent to what average price change per year for the entire 10-year period?

The table below shows the index numbers for the cost of a basket of goods and services in each period. Use this information to calculate the inflation rate for each period. Round to two decimal places. Period 1 Period 2 Period 3 Period 4 Index Number 112 120 124 130 Provide your answer below: Inflation Rate Period 2 = %; Period 3 = %; Period 4 = [

Suppose you took out 20,000 in student loans at a fixed interest rate of 5%. Assume that after you graduate, inflation rises significantly as you are paying back your loans. Does this rise in inflation benefit you in paying back your student loans? Who is hurt more from unexpected higher inflation, a borrower or a lender ?

Calculate inflation when nominal interest rate is 8% and the real interest rate is 2% Help!

Assume the economy is experiencing low and stable inflation, averaging 2% a year. Nadia loans her good friend Brett $12,000 to buy a car. Nadia and Brett agreed that he would repay the loan over the next 5 years at a 5% fixed interest rate. How would Nadia and Brett be affected if next year the inflation rate unexpectedly rises to 6%?

Suppose you have $150,000 in a bank term account. You earn 5% interest per annum from this account.    You anticipate that the inflation rate will be 3% during the year. However,    the actual inflation rate for the year is 6%.    Calculate the impact of inflation on the bank term deposit you have. ii.    Examine the effects of inflation in your city of residence with attention to food and accommodation expenses. iii.    The Australian Bureau of Statistics (ABS) reported in May 2016 that the    civilian population in Australia over 15 years of age was 19.8 million.    Of this population of 19.8 million Australians, 12.5 million were    employed and 0.7 million were unemployed.    Calculate Australia’s labor force and the number of people in the civilian    population who were not in the labor force?

Use the information in the table to calculate the inflation rate. The base year is 1989. Market basket Frozen peas Wool slacks Cellular car phone 1989 Prices 1990 Quantity 0.60 26 1990 Prices 0.80 1991 Quantity 1991 Prices 29 0.70 20.00 16 25.00 25 35.00 な 325.00 2 300.00 16 450.00 What is the annual inflation rate for 1991? Enter your answer as a percent rounded to two places after the decimal. 1991 annual inflation rate:

By adjusting the interest rate and changing the quarterly deposits required, can we adjust annual inflation?

A price index for a basket of goods over four years was calculated to be: 2014 = 92, • 2015 =97, • 2016=100, • 2017=107. Calculate the inflation rate for each year so that you will enter: Blank #1 = Inflation Rate for 2015 Blank #2 = Inflation Rate for 2016 • Blank #3 = Inflation Rate for 2017 What is the base year in this scenario? • Blank #4 = Base year for this basket %3D Round to two decimal places Blank # 1 Blank # 2 Blank # 3 Blank # 4