Construct index no using all the 3 methods of Weighted Aggregative Method, i e Laspeyre's method, Paasche's method, - Economics - Index Numbers

Question

Construct index no using all the 3 methods of Weighted
Aggregative Method, i e Laspeyre's method, Paasche's method,
Fisher's method
Items Base yr quantity Base yr price Current yr quantity Current
yr price
A 6 10 8 12
B 4 15 5 20
C 5 8 3 16
D 3 9 6 1

Juhi Grover · Accepted Answer

ITEMS

BASE YEAR QUANTITY
(Q0)

BASE YEAR PRICE
(P0)
CURRENT YEAR
QUANTIY
(Q1)
CURRENT YEAR PRICE
(P1)

P1Q0

Q0P0

P1Q1

P0Q1

A
6
10
8
12
72
60
96
80

B
4
15
5
20
80
60
100
75

C
5
8
3
16
80
40
48
24

D
3
9
6
1
3
27
6
54

235
187
25

Laspeyer's Method
(P1Q0 / Q0P0 ) *
100 = (235 / 187) * 100 = 125 6

Paasche's Method
(P1Q1 / P0Q1
)*100 = 250 / 233 * 100 = 107 2

Fisher's Method
<img alt="sqrt{}" src=
"http://latex%20codecogs%20com/gif%20latex?%5Csqrt%7B%7D">(P1Q0
* P1Q1) / (P0Q0
*P0Q1) * 100 = 1 161

ITEMS	BASE YEAR QUANTITY (Q₀)	BASE YEAR PRICE (P₀)	CURRENT YEAR QUANTIY (Q₁)	CURRENT YEAR PRICE (P₁)	P₁Q₀	Q₀P₀	P₁Q1	P₀Q₁
A	6	10	8	12	72	60	96	80
B	4	15	5	20	80	60	100	75
C	5	8	3	16	80	40	48	24
D	3	9	6	1	3	27	6	54
					235	187	25

Construct index no. using all the 3 methods of Weighted Aggregative Method, i.e. Laspeyre's method, Paasche's method, Fisher's method. Items Base yr quantity Base yr price Current yr quantity Current yr price A 6 10 8 12 B 4 15 5 20 C 5 8 3 16 D 3 9 6 1

Construct index no. using all the 3 methods of Weighted Aggregative Method, i.e. Laspeyre's method, Paasche's method, Fisher's method.

Items Base yr quantity Base yr price Current yr quantity Current yr price

A 6 10 8 12

B 4 15 5 20

C 5 8 3 16

D 3 9 6 1