1303AFE economics griffith university

Week 4: Learning Activities 2. Review Questions for Week 4 You Try Questions 1. The cost of a basket of goods in 2020 was $650. In the base year of 2010 the basket cost $230. What is the value of the CPI 2020? 2. What is the inflation rate in 2020 in Q1 above if the CPI 2019 is 270? 3. What is your real wage this year if last year you earned $900 and you got a raise of $25 but inflation over the past year has been 2.1%? Real wage this year (last year's dollars) = $925 / 102.1 x 100 = $905.97