Inflation, Operation Research

Assignment Help:

 Inflation

Inflation is a general increase in the price of goods and services. The inflation rate, as measured by the Consumer Price Index (CPI), was 9.9% in 20x2-x3 and is expected to be 8% in 20x3-x4. This does not mean that prices will be lower in 1993-94. It merely means that the general increase in prices will be lower. An example will clarify the point.

The prices of certain items are included in calculating the CPI. If a given quantity of these items cost Rs.10,000 in the beginning of 20x2-x3, then at the end of 20x2-x3 they would cost Rs.10,990 which is 9.9% more. Further at the end of 20x3-x4 they will be expected to cost Rs.11,869 which is 8% more than the cost at the beginning of the year. Clearly the prices have not fallen, only the rate of increase has slowed down.

Figure 1: Inflation as Reflected by the Cost of Items Worth Rs.10,000
on 1st April 1992

1831_inflation.png

         1st April 20x2  1st April 20x3 1st April 20x4


Related Discussions:- Inflation

Cost- sampling decisons, Cost- sampling decisons                   ...

Cost- sampling decisons                         σ x¯ =S/√n       Where is the  standard  error of he mean is the standard devaluation of  the population and n is t

Inventory control research, Given an inventory system where Yearly demand ...

Given an inventory system where Yearly demand = 120 units Ordering cost = Sh. 45 Price per unit = Sh. 200 Annual carrying cost = 24% of the unit cost Determine The economic or

Operations research, state phases of operations research and and their impo...

state phases of operations research and and their importance in solving problems

Biographies, Biographies, Handbooks and Dictionaries: Dictionaries: ...

Biographies, Handbooks and Dictionaries: Dictionaries: Dictionaries  primarily deal with all aspects of  words from  proper definitions to spellings. Webster's Third Ne

Environmental demands, Problem 1 Explain the key elements, which contri...

Problem 1 Explain the key elements, which contribute to a sound and effective strategy. >>Explanation of following elements Market Consumers Competition Skil

Decision analysis models, These models deal with the selection of an opt...

These models deal with the selection of an optimal course of action given the possible pay offs and their associated probability of occurrence. These models are broadly

35mm slider -report writing presentation , 35mm Slider  35 mm Slider l...

35mm Slider  35 mm Slider like OHP transparencies casts  an images but they  have different  uses and  properties. They are used  to show an actual photographic  images in the

Pay-off matrix , In a rectangular game, pay-off matrix of player A is as fo...

In a rectangular game, pay-off matrix of player A is as follows: Player B B1 B2 Player A A1 A2 i) Solve the game. ii) Write down the pay-off matrix of B and th

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd