-The data in the table above shows the consumption by families in a small (poor) economy.The families consume only salt and bread.The reference base period is 2011.The CPI in 2012 is

Question

-The data in the table above shows the consumption by families in a small (poor)economy.The families consume only salt and bread.The reference base period is 2011.The CPI in 2012 is

Quizplus · Accepted Answer

The Consumer Price Index (CPI) is calculated by comparing the cost of a fixed basket of goods in the current year to the cost in the base year. If the CPI in 2012 is 123.1, it means that the cost of the basket has increased by 23.1% compared to the base year 2011, where the CPI is 100.

-The Data in the Table Above Shows the Consumption by Families