Roberto is a senior citizen who consumes food and healthcare. When he retired in 2002, he consumed 90 meals and 3 medical checkups per month. Suppose in 2002 that the price of a meal was $10 and the price of a medical checkup was $64. However, in 2012, the price of a meal is $11 and the price of a medical checkup is $277. As a result, Roberto consumes 100 meals and 2 medical checkups per month.
Calculate a Laspeyres cost-of-living index for Roberto using 100 as the base in 2002. In particular, the Laspeyres index for 2012 is ___. (Enter you response to two decimal places.)
The Laspeyres index suggests inflation has been ___% over the 10-year period from 2002 to 2012. (Enter your response to two decimal places.)
Next, calculate a Paasche cost-of-living index for Roberto using 100 as the base in 2002. In particular, the Paasche index for 2012 is ___. (Enter your response to two decimal places.)
The Paasche index suggests inflation has been ___%. (Enter your response to two decimal places.)