Question
1a.Why does the CPI exclude income taxes and life insurance costs, yet includes sales or property taxes? 1b. 1.In this chapter you learn a more
1a.Why does the CPI exclude income taxes and life insurance costs, yet includes sales or property taxes?
1b. 1.In this chapter you learn a more accurate way of calculating real income, by adjusting to the CPI, rather than the inflation rate. What is the change in real disposable income (Yd) if in year 1 income is $52,800 with a CPI of 241.76, and in year 2 income is $53,700 with a CPI of 244.89?
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Mathematical Economics
Authors: Wade Hands, D Wade Hands
2nd Edition
0195133781, 9780195133783
