Krugman AP Macroeconomics Chapter 15
Subject:
Economics [1]
Tags:
Price indices [2]
economics [3]
Statistics [4]
Econometrics [5]
Deflator [6]
GDP deflator [7]
inflation [8]
Price index [10]
Index [14]
Business [15]
behavior [16]
Human development [17]
Computing [18]
Electronic documents [20]
Psychoanalysis [22]
Human behavior [23]
Attachment theory [25]
Technology [26]
Chapter 15: The Measurement and Calculation of Inflation ? -How the inflation rate is measured -What a price index is and how it is calculated -The importance of the consumer price index and other price indexes ? Aggregate Price Level: a measure of the overall level of prices in the economy/single number to represent the overall level of prices Market Basket: a hypothetical set of consumer purchases of goods and services/Hypothetical Consumption bundle Consumption bundle: the typical basket of goods and services purchased before the price changes Price index: measure of the cost of purchasing a given market basket in a given year Base year: always results in a price index of 100 Price indexes are also the basis for measuring inflation