The following table represents the nominal values of an


The following table represents the nominal values of an item and the corresponding price index from 2009 to 2011.

Year     Nomianl Value    Price Index

2009        38                    100

2010        40                    103

2011        42                    112

a. Compare the percentage change in the nominal values with the corresponding real values from 2009 to 2010.

b. Compare the percentage change in the nominal values with the corresponding real values from 2010 to 2011.

c. Use the price data to compute the inflation rate for 2010 and 2011.

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Basic Statistics: The following table represents the nominal values of an
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