GDP and CPI

GDP and the CPI: Tracking the Macroeconomy - End of Chapter Problems Year GDP deflator CPI The accompanying table contains two price indexes for the years 2014, 2015, and 2016: the GDP deflator and the CPI. For each price index, calculate the inflation rate from 2014 2014 113.1 125.2 to 2015 and from 2015 to 2016. (Note the GDP deflator has a base year of 2007, and the 2015 112.2 126.6 CPI has a base year of 2002.) Round all answers to one place beyond the decimal point. 2016 112.9 128.4 2014-2015 inflation based on the GDP deflator: 2014-2015 inflation based on the CPI: % 2015-2016 inflation based on the GDP deflator: % 2015-2016 inflation based on the CPI