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<p align="justify">The construction of an index number is not an easy task. Various problems hamper the construction of index number such as; what should be the base year, which commodities should be included, how should the weights allocated to each commodity etc. These are some of the problems which make it difficult to construct an index number on regular basis. The important problems of index number are discussed below. </p>
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<h3>Defining Purpose</h3>
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