RPI and CPI (AQA GCSE Statistics): Flashcards
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Practise the cards
10 cards from this deck
What does RPI measure in the cost of living?
What does RPI measure in the cost of living?
RPI tracks price changes for everyday household items.
What is the base year for RPI?
What is the base year for RPI?
RPI uses 1987 as its base year with an index of 100.
How does CPI differ from RPI?
How does CPI differ from RPI?
CPI excludes mortgage payments; RPI includes them.
What is the base year for CPI?
What is the base year for CPI?
CPI uses 2015 as its base year with an index of 100.
How to calculate percentage increase with index numbers?
How to calculate percentage increase with index numbers?
Use: (New value - Old value) / Old value x 100.
Calculate cost in target year using index values.
Calculate cost in target year using index values.
Cost = (Index value in target year / Base year index) x Cost.
If RPI is 110, what does it indicate?
If RPI is 110, what does it indicate?
Prices have increased by 10% since the base year.
How does the government use CPI?
How does the government use CPI?
CPI adjusts benefits, tax credits, and pensions in the UK.
What is the formula for reverse calculations?
What is the formula for reverse calculations?
Set up: Index1/Index2 = Value1/Value2, solve for unknown.
What should you do when comparing index values?
What should you do when comparing index values?
Convert to the same base year and calculate percentage changes.