Q1 Consider an economy producing only Hummus and Falafel, all of which is domestically consumed, if not stated otherwise. There are no investments and no goverament spendings. The following table contains the production levels and prices for the years2000-2002. Fill out the remaining columns of the table.Take the same economy as in question 1 with the year 2000 as the base year. Fill out the remaining columns of the table. a) Calculate the basket prices for all three years.b) Calculate the CPI for all three years with the year 2000 as base year. c) Calculate the CPI inflation rates for 2001 and 2002.

Year Hummus Price Falafel Price Basket CPI Infla rate 2000 100 10 $2 2001 200 $2 30 $4 2002 300 40 d) Calculate the inflation rate from 2000 to 2002. (1 point) e) Why does the inflation rates for 2001 and 2002 do not add up to the total inflation rate from 2000 to 20027 (1 point)