1.14. The cost of a college education in the United States is rising at a rate faster than inflation. The table below shows the average cost of a college education in the United States in 2006 and 2007 for public and private colleges. Assume the costs listed in the table are the only costs experienced by the various college students in a single year.

a. Calculate the cost of living for an average college student in each category for 2006 and 2007.

b. Assume the quantity of goods purchased in each category, i.e., the market basket, is identical for 2006 and 2007.

Calculate an inflation rate for each type of college student between 2006 and 2007.

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Tuition and fees Cost of college education (averages in 2006 dollars) Books and supplies Room and board Transportation Other expenses Two-year public college: commuter Four-year public college: resident $ 2,272 $850 $6,299 $1,197 $1,676 5,836 942 6,690 880 1,739 Four-year public college: commuter 5,836 942 6,917 1,224 2,048 Four-year public college: out-of-state 15,783 942 6,960 880 1,739 Four-year private college: resident 22,218 935 8,149 722 1,277 Four-year private college: commuter 22,218 935 7,211 1,091 1,630 Tuition and fees Cost of college education (averages in 2007 dollars) Books and supplies Room and board Transportation Other expenses Two-year public college: commuter Four-year public college: resident Four-year public college: commuter $ 2,361 $921 $6,875 $1,270 $1,699 6,185 988 7,404 911 1,848 6,185 988 7,419 1,284 2,138 Four-year public college: out-of-state 16,640 988 7,404 911 1,848 Four-year private college: resident 23,712 988 8,595 768 1,311 Four-year private college: commuter 23,712 988 7,499 1,138 1,664