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Ex: CPI in 2000 is 3,500 CPI in 2001 is 4,500

What's the inflation rate?

4500 - 3500 = 1000 1000/3500 = .2857.... .2857 * 100 = 28.57 is the INFLATION RATE

In generality: CPI (Target year 1) - CPI (Target year 2) / CPI (Target Year 2) For this year's inflation since last year: CPI (This Year) - CPI (Last year) / CPI (This year)

Source: easycalculation.com

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Related Questions

How does the CPA help calculate inflation rate of a country?

We mean cpi and it helps calculate the inflation rate of the country by tracking the changes over time in the prices paid by consumers for a basket of goods and services


How do you calculate the average inflation rate?

To calculate the average inflation rate, you would add up the inflation rates for each year and then divide by the total number of years. This will give you the average inflation rate over the specified time period.


How can one calculate the real interest rate, taking into account inflation?

To calculate the real interest rate, subtract the inflation rate from the nominal interest rate. The real interest rate reflects the true purchasing power of the money invested or borrowed after adjusting for inflation.


What is todays inflation rate?

In some countries the current inflation rate is over 100%, in other countries the current inflation rate is just over 3%.


How can one calculate the inflation rate using the unemployment rate as a key factor?

To calculate the inflation rate using the unemployment rate as a key factor, you can use the Phillips Curve. The Phillips Curve shows the relationship between inflation and unemployment. When unemployment is low, inflation tends to be higher, and vice versa. By analyzing this relationship, economists can estimate how changes in the unemployment rate may impact inflation.


Does inflation have anything to do with?

Inflation refers to the rate of increase of goods and services in a country Let us say the inflation rate of your country is 10% then whatever was worth $100 last year is worth $110 this year. This is the effect of inflation.


How can one calculate the expected inflation rate?

To calculate the expected inflation rate, one can use economic indicators such as the Consumer Price Index (CPI), Producer Price Index (PPI), and inflation expectations surveys. By analyzing these factors, economists can make predictions about future inflation rates.


How can one calculate a salary increase based on inflation?

To calculate a salary increase based on inflation, you can use the formula: New Salary Current Salary (Current Salary x Inflation Rate). This formula takes into account the current salary and the rate of inflation to determine the new salary amount.


How do you compare inflation rate in India with world inflation rate?

Honestly, you can not compare inflation rate of world with India's. Each country have their own currency and policies hence different rate of inflation. You could find various different inflation rations for different commodities and then compare them with India's overall inflation rates.


How to calculate the inflation rate accurately?

To calculate the inflation rate accurately, you can use the formula: Inflation Rate ((Current CPI - Previous CPI) / Previous CPI) x 100. This formula compares the Consumer Price Index (CPI) from two different time periods to determine the percentage change in prices.


What data must you to calculate the inflation rate for a specific year?

Cost of Living


How do you calculate the annual rate of inflation?

To calculate the annual rate of inflation, you can use the formula: Inflation Rate ((Current CPI - Previous CPI) / Previous CPI) x 100. This formula compares the Consumer Price Index (CPI) from one year to the next to determine the percentage change in prices over time.