Statistics >> Methods of constructing index numbers
Generally base year is denoted by the symbol '0' and current year by' 1 '. So,
P0 = Price of the commodity in the base year
P1 = Price of the commodity in the current year,
q0 = Quantity in the base year
q1 = Quantity in the current year
P01 = Price index number for the current year compared to the base year.
Index numbers may be classified as below:
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