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Assume that consumer buys 4 goods like food, shelter, healthcare, entertainment. According to a hypothetical survey consumer spent 40% of total budget on food, 20%
Assume that consumer buys 4 goods like food, shelter, healthcare, entertainment. According to a hypothetical survey consumer spent 40% of total budget on food, 20% on shelter, 30% on healthcare and 10% on entertainment. Using 2016 as base year the price unit of food is 80, shelter is 110, healthcare is 120 and entertainment is 60. In Current year 2017 food price increased by 8% shelter by 6% healthcare by 10% and entertainment by 9%. Calculate the inflation rate using the above information.
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