EECS352 Homework 5 Due 2/28/13 Inflation Index: 1. (Park Problem 4.3) The following data indicate the price indices of lumber (price index for the base period (1982-1984) = 100) during the last six years: Year Price Index 2001 144.5 2002 179.5 2003 188.2 2004 178.8 2005 171.6 2006 170.6 2007 ? If the base period (price index = 100) is reset to the year 2001, compute the inflation rate for lumber between 2001 and 2006. If the past trend is expected to continue, how would you estimate the price of lumber in 2008