-Refer to Table 6.13. If 1999 is the base year, the inflation rate between 1999 and 2001 is:
A) 9%.
B) 114%.
C) 14%.
D) 1.4%.

Name: -Refer to Table 6.13. If 1999 is the base year, the inflation rate between 1999 and 2001 is: A) 9%. B) 114%. C) 14%. D) 1.4%.
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Question

-Refer to Table 6.13. If 1999 is the base year, the inflation rate between 1999 and 2001 is:
A) 9%. 
B) 114%. 
C) 14%. 
D) 1.4%.

Quizplus · Accepted Answer

The inflation rate is calculated as the percentage change in the price index from the base year (1999) to 2001. If the price index in 1999 is 100 (as it is the base year), and in 2001 it is 114, the inflation rate is ((114-100)/100)*100% = 14%.