2. Compute inflation rates for the following cases. a. Calculate the one-period inflation rate for the US in 2022 given that the CPI in 2021 was 271.0 and the CPI in 2022 was 292.7. b. Using the CPI data table from question 1, calculate the average annual inflation rate from 1970 to 1990. (Hint- this will use the constant growth formula from Lecture 3). c. Using the CPI data table from question 1, calculate the average annual inflation rate from 2000 to 2020. (Hint- this will use the constant growth formula from Lecture 3).

ECON MACRO
5th Edition
ISBN:9781337000529
Author:William A. McEachern
Publisher:William A. McEachern
Chapter7: Unemployment And Inflation
Section: Chapter Questions
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2. Compute inflation rates for the following cases.
a. Calculate the one-period inflation rate for the US in 2022 given that the CPI in 2021 was
271.0 and the CPI in 2022 was 292.7.
b. Using the CPI data table from question 1, calculate the average annual inflation rate
from 1970 to 1990. (Hint- this will use the constant growth formula from Lecture 3).
c. Using the CPI data table from question 1, calculate the average annual inflation rate
from 2000 to 2020. (Hint- this will use the constant growth formula from Lecture 3).
Transcribed Image Text:2. Compute inflation rates for the following cases. a. Calculate the one-period inflation rate for the US in 2022 given that the CPI in 2021 was 271.0 and the CPI in 2022 was 292.7. b. Using the CPI data table from question 1, calculate the average annual inflation rate from 1970 to 1990. (Hint- this will use the constant growth formula from Lecture 3). c. Using the CPI data table from question 1, calculate the average annual inflation rate from 2000 to 2020. (Hint- this will use the constant growth formula from Lecture 3).
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