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5. Weighted Index Numbers example ( Enter your problem )
  1. Laspeyre's index number Example-1
  2. Paasche's index number Example-2
  3. Fisher's index number Example-3
  4. Marshall Edgeworth's index numberExample-4
  5. Dorbish-Bowley's index number Example-5
  6. Kelly's index number Example-6
  7. Walsh's index number Example-7

2. Paasche's index number Example-2





Find Laspeyre's index number, Paasche's index number, Fisher's index number
ItemPrice0Quantity0Price1Quantity1
A10201222
B816818
C510611
D4748


Solution:
Item`p_0``q_0``p_1``q_1``p_1q_0``p_0q_0``p_1q_1``p_0q_1`
A10201222240200264220
B816818128128144144
C51061160506655
D474828283232
---------------------------
Total`456``406``506``451`


1. Laspeyre's index number

`I_L=(sum p_1q_0)/(sum p_0q_0) xx 100`

`=(456)/(406) xx 100`

`=112.32`

Thus, there is a rise of `(112.32-100)=12.32%` in prices



2. Paasche's index number

`I_P=(sum p_1q_1)/(sum p_0q_1) xx 100`

`=(506)/(451) xx 100`

`=112.2`

Thus, there is a rise of `(112.2-100)=12.2%` in prices



3. Fisher's index number

`I_F=sqrt(I_L xx I_P)`

`=sqrt(112.3153 xx 112.1951)`

`=112.26`

Thus, there is a rise of `(112.26-100)=12.26%` in prices




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