If the Consumer Price index rises from 300 to 333 in a particular year, the rate of inflation in that year is:
A)11 percent.
B)33 percent.
C)91 percent.
D)10 percent.

Question

Quizplus · Accepted Answer

The rate of inflation is calculated as the percentage change in the CPI over a period of time. In this case, the CPI rose from 300 to 333, an increase of 33 points. The percentage change is calculated as (33 / 300) * 100 = 11%.

If the Consumer Price Index Rises from 300 to 333