Question

The following table shows the consumer price index(CPI) for a fictional country from 1992-2000.during which of these time periods was there a period deflation?please help!!!!!!!!!!!!!!!!!

Answer 1

Answer:

d) 1998 to 2000

Step-by-step explanation:

Consumer price index (CPI) is an economic indicator that shows the average change in prices of items, goods and services. Basically, if CPI is increasing over a period of time that means that there is inflation, and if it decreases that means that there is deflation (lowering of prices).

Now, looking at our table, we see that:

- 1992-1994: CPI increased from 44.3 to 58.2 -> inflation

- 1994-1996: CPI increased from 58.2 to 65.9 -> inflation

- 1996-1998: CPI increased from 65.9 to 70.4 -> inflation

- 1998-2000: CPI decreased from 70.4 to 69.1 -> deflation