by kasi | Jun 19, 2010 | Descriptive statistics
The index which measures the change in prices of goods and services purchased by specific class or group of people for a particular period of time is called consumer price index. Since the income level and living pattern of households differ therefore it is necessary... by kasi | Jun 19, 2010 | Descriptive statistics
In case of average of weighted relatives, price relative of each commodity is multiplied by the weight of that commodity and the sum of these products is divided by the sum of weights of all the commodities. Weighted average-of-relatives index can be calculated by... by kasi | Jun 18, 2010 | Descriptive statistics
In case of unweighted average of relatives, price relative of each commodity is first calculated and then average (mean, median or geometric mean) of these price relatives for all the commodities is taken. average of relatives can be calculated by taking arithmetic... by kasi | Jun 18, 2010 | Descriptive statistics
The ratio of the sum of weighted prices of current and base time periods multiplied by 100 is called weighted aggregate price index. This index is calculated after allocating weights to each commodity on the basis of their relative importance. Weights of these... by kasi | Jun 18, 2010 | Descriptive statistics
The method in which sum of prices of all the commodities in the current period is divided by the total prices in the base period is called unweighted aggregate index. Since simple aggregate index does not give relative importance to the commodities therefore it is...