Purchase Solution

Lapeyres price index and the Paasche price index.

Not what you're looking for?

Ask Custom Question

For the following data, calculate the Lapeyres price index and the Paasche price index for the year 1997, taking 1993 as the base year.

Item
1993
1997

price
quantity
price
quantity

1 lb. of bananas
$0.39
150
$0.49
200

1 loaf of bread
$0.99
52
$1.29
52

1 gal. of 2% milk
$1.29
104
$1.69
52

1 dozen eggs
$0.69
30
$0.89
24

Attachments
Purchase this Solution
Solution Summary

For the following data, calculate the Lapeyres price index and the Paasche price index for the year 1997, taking 1993 as the base year.

Solution Preview

For the following data, calculate the Lapeyres price index and the Paasche price index for the year 1997, taking 1993 as the base year.
Item 1993 ...

Purchase this Solution
Free BrainMass Quizzes
Motivation

This tests some key elements of major motivation theories.

Situational Leadership

This quiz will help you better understand Situational Leadership and its theories.

Business Processes

This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.

Basic Social Media Concepts

The quiz will test your knowledge on basic social media concepts.

Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

View More Free Quizzes
Related BrainMass Solutions

  • Price Index Numbers

    The solution gives details of calculation of simple price indexes. Simple aggregate price indexes, Laspeyres' price index, Paasche price index and Fisher's ideal index.

  • Paasche price index

    139035 Paasche Price Index 1.

  • Questions in Statistical Techniques in Business & Economics

    The Paasche price index for 2002 is: a. 101.54 b. 116.07 c. 120.00 d. 124.53 27. The Paasche price index for 2003 is: a. 141.05 b. 171.79 c. 179.24 d. 252.83 28.

  • Rate of change

    current year and base year price and quantities for the base year.

  • goods and services produced by workers

    II) A) explain the two types of price indices ( Laspeyres, or "base-weighted", And "paasche", or current-weighted. B) Explain what we mean when we say a price index is "Chained"; and C) discuss some of the more commonly-used indices.

  • simple aggregate price index

    s index for 2004 using 2000 as the base period. E. Determine Fisherâ??s ideal index using the values for the Laspeyres and Paasche indexes computed in the two previous problems. F.

  • Simple Price Index numbers

    Compute the 2006 Paasche price index for the basket of these four food items for a family that consumed 55 loaves of bread, 17 pounds of beef, 20 dozen eggs, and 28 pounds of lettuce in 2006.

  • Statistics - Compare the Hourly Wage Increases for the Period

    Solution-3: Item Price Quantity Value Index Paasche Index 2000 2006 2000 2006 Cabbage (pound) 0.06 0.05 2,000.00 1,500.00 0.625 0.833 Carrots (bunch) 0.10 0.12 200.00 200.00 1.200 1.200 Peas (quart) 0.20 0.18 400.00 500.00 1.125 0.900 Endive

  • expenditures/GDP

    Using the year 2005 as the base year, compute the following statistics for the year 2007: (1) nominal GDP (2) real GDP (3) the GDP deflator (a Paasche index) (4) the CPI (a Laspeyres index) b.

View More Related Solutions