Question:1. What were the house price levels in January 2017 and 2022? (Hint. Use the Q1values)2017 01 - 240.622022 01 - 433.432. What was the overall inflation rate for houses during that time period?(433.43-240.62)/240.62 = 80%3. At what price does this assume you sold your house? ~$433k4. What was the overall inflation rate in the economy during that time period?(118.61006-102.24247)/102.24247 = 16%5. Using the GDP Deflator, what is the value of your 2022 home in 2017 dollars?

2 Housing and Capital Gains Taxes In this example you'll consider the impact of inflation on taxes and uncover one of multiple reasons for why different tax rates are set relative to one another. Here are the data series you'll need to consider for this exercise. . House Price Index for Salt Lake City, UT . GDP Deflator FRED n: Assume you purchased a home for the median price in Salt Lake County in January 2017, which was $375,900. Also assume your home experienced the average house price inflation up until you sold it in January 2022. 2.1 Nominal vs. Real Capital Gains While housing prices rose substantially, general prices did as well. Here we'll estimate both the nominal and real capital gains earned from selling your house in January 2022