Introduction + Index numbers

Question 1

Macroeconomics Definition

Answer 1

To look at economy as a whole and how it affected by key indicators such as unemployment, trade, growth and price levels

Question 2

Economy Definition

Answer 2

State of a country or region in terms of production and consumption

Question 3

Formula for calculating index numbers when you have raw base year

Answer 3

Current year’s raw value / Base year’s raw value x 100

Question 4

Formula for calculating index numbers when you DON’T have raw base year

Answer 4

Current year’s raw value / Previous year’s raw value x Previous year’s index value

Question 5

What is a weighted index

Answer 5

An ‘average’ index made up of a combination of indices

Question 6

HDI is

Answer 6

Weighted index number
between an index number representing GNI per capita,
an index number representing life expectancy, and a index number representing number of years of schooling

Question 7

CPIH

Answer 7

The cost price index for housing
The measure for inflation