Question

If Σp₁ q₀: Σp₀ q₀ = 5 : 3 and Σp₁ q₁: Σp₀ q₁ = 3:2, compute the Laspeyre’s, Paasche’s and Fisher’s index numbers.

Answer 1

\(\sum {p_1\,q_0}: \sum {p_0\,q_0}=5:3\)

\(=\cfrac{\sum {p_1\,q_0}}{\sum {p_0\,q_0}}=\frac{5}{3}\)

\(\sum {p_1\,q_1}: \sum {p_0\,q_1}=3:2\)

\(=\cfrac{\sum {p_1\,q_1}}{\sum {p_0\,q_1}}=\frac{3}{2}\)

Now