CBC News last year in December published an article saying our grocery bill in 2019 would increase. The prediction was based on the research and published in Canada's Food Price Report. The report predicted that there would be overall 3.5% increase in food price. In case you want to read the article, you can find it athttps://www.cbc.ca/news/business/canada-food-price-report-2019-1.4930130.

Now you are asked to take a look at the data on input prices published by Statistics Canada following the linkhttps://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1810025801or search 'Farm input price index, quarterly - Statistics Canada' on the web. List the data below on the variable 'Farm Input Total' and find the growth rate of price indices from 2019Q1 to 2019Q2 to obtain inflation in farm inputs.

Question 1(6 points)

Question 1 options:

2019Q1 (one decimal point)

2019Q2 (one decimal point)

Growth Rate (one decimal point, don't put % sign)

Question 2(2 points)

The farm input prices are major predictors of supply of foods in the Canadian market. Based on the growth rate of farm input prices above, indicate below how the supply curve shifts for food products in Canada from 2019Q1 to 2019Q2?

Question 2 options:

Shifts Left

Shifts Right

Question 3(2 points)

Refer to your indicated shift above. Do you think the claim of Canada's Food Price Report was correct in predicting a rise in food prices in 2019 (at least until first two quarters)?

Question 3 options:

Correct

Incorrect