Suppose you want to measure changes in the prices of goods and services. Assume the market
basket of goods and services includes only three items-hats, gloves, and pens. The following
table shows the prices and quantities produced of these goods for three years. Use the table to
answer the questions that follow. Write your answers on the lines provided.
Year
Price
of hats
Quantity
of hats
produced
Price
of gloves
Quantity
of gloves
produced
Price
of pens
Quantity
of pens
produced
2013
$10
20
$5
50
$1
55
2014
$12
20
$5
55
$2
60
2015
$12
30
$7
60
$3
82
70
1. The total dollar expenditure for year 2013 equals
2. The total dollar expenditure for year 2014 equals
3. The total dollar expenditure for year 2015 equals
4. Let the year 2013 be the base year. Then, the CPI for year 2014 equals
The CPI for year 2015 equals
5. The percentage change in the CPI from 2014 to 2015 equals