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The typical basket of goods that consumers in the city of Santa Gata buy consists of 20 cotton shirts, 6 bagsof catnip, and 100 cartons
The typical basket of goods that consumers in the city of Santa Gata buy consists of 20 cotton shirts, 6 bagsof catnip, and 100 cartons of milk. The price information for 1995 and 1996 are given below.
If the base year is 1995, what is the value of the Santa Gatan CPI in 1995? In 1996? What is the rate of inflation between1995 and 1996?Show your work.
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