Index numbers and inflation

Index numbers and inflation#

Learning objectives#

After working through this topic, you should be able to:

  • explain the concept of proportional numbers and its subcategories

    • structural numbers

    • relationship numbers

    • measurement numbers

  • explain the concept of index numbers

  • explain why there are different inflation rates

  • calculate and interpret Paasche and Laspeyres price indices

Materials#

Video with English subtitles:

Download the slides.

Video with German subtitles:

(turn subtitles on in the bottom right corner of the video)

Contents