diff --git a/pset3/pset3.fdb_latexmk b/pset3/pset3.fdb_latexmk index 198c8f9..5d32390 100644 --- a/pset3/pset3.fdb_latexmk +++ b/pset3/pset3.fdb_latexmk @@ -1,7 +1,7 @@ # Fdb version 4 -["pdflatex"] 1710038095 "/home/rushil/school/econ/pset3/pset3.tex" "pset3.pdf" "pset3" 1710038096 0 +["pdflatex"] 1710560444 "/home/rushil/school/econ/pset3/pset3.tex" "pset3.pdf" "pset3" 1710560445 0 "/etc/texmf/web2c/texmf.cnf" 1693368362 475 c0e671620eb5563b2130f56340a5fde8 "" - "/home/rushil/school/econ/pset3/pset3.tex" 1710038095 15565 c8b574531d1affa1e40599be33e39d34 "" + "/home/rushil/school/econ/pset3/pset3.tex" 1710560445 15579 5b825581874c2cafc956998975543771 "" "/usr/share/texlive/texmf-dist/fonts/map/fontname/texfonts.map" 1577235249 3524 cb3e574dea2d1052e39280babc910dc8 "" "/usr/share/texlive/texmf-dist/fonts/tfm/jknappen/ec/tcbx0500.tfm" 1136768653 1536 1af62ec3f6992ddcd10a9f54fb1a504a "" "/usr/share/texlive/texmf-dist/fonts/tfm/jknappen/ec/tcbx0700.tfm" 1136768653 1536 50f9b6c0f7870bc0862614b77b8f0f5a "" @@ -226,9 +226,9 @@ "/usr/share/texmf/web2c/texmf.cnf" 1681034085 39561 34c98e380bf7c7201ee6a7909aff625a "" "/var/lib/texmf/fonts/map/pdftex/updmap/pdftex.map" 1693368379 4623455 fa0568a71dd9a288d6c226ee477506c6 "" "/var/lib/texmf/web2c/pdftex/pdflatex.fmt" 1693368408 7880218 5644a8bb2704ddc1060e0c139ce5389a "" - "pset3.aux" 1710038096 1112 5c96f7210605135cced25d6c65fd4d54 "pdflatex" - "pset3.out" 1710038096 582 193011347843b0bcc4127598f0692430 "pdflatex" - "pset3.tex" 1710038095 15565 c8b574531d1affa1e40599be33e39d34 "" + "pset3.aux" 1710560445 1112 5c96f7210605135cced25d6c65fd4d54 "pdflatex" + "pset3.out" 1710560445 582 193011347843b0bcc4127598f0692430 "pdflatex" + "pset3.tex" 1710560445 15579 5b825581874c2cafc956998975543771 "" (generated) "pset3.aux" "pset3.log" diff --git a/pset3/pset3.log b/pset3/pset3.log index f1ac4c4..1a33454 100644 --- a/pset3/pset3.log +++ b/pset3/pset3.log @@ -1,4 +1,4 @@ -This is pdfTeX, Version 3.141592653-2.6-1.40.24 (TeX Live 2022/Debian) (preloaded format=pdflatex 2023.8.30) 9 MAR 2024 21:34 +This is pdfTeX, Version 3.141592653-2.6-1.40.24 (TeX Live 2022/Debian) (preloaded format=pdflatex 2023.8.30) 15 MAR 2024 23:40 entering extended mode restricted \write18 enabled. file:line:error style messages enabled. @@ -665,7 +665,7 @@ Here is how much of TeX's memory you used: 1141 hyphenation exceptions out of 8191 102i,12n,104p,753b,609s stack positions out of 10000i,1000n,20000p,200000b,200000s {/usr/share/texmf/fonts/enc/dvips/cm-super/cm-super-ts1.enc} -Output written on pset3.pdf (7 pages, 155062 bytes). +Output written on pset3.pdf (7 pages, 155362 bytes). PDF statistics: 164 PDF objects out of 1000 (max. 8388607) 129 compressed objects within 2 object streams diff --git a/pset3/pset3.pdf b/pset3/pset3.pdf index f193d6f..1e5c1e3 100644 Binary files a/pset3/pset3.pdf and b/pset3/pset3.pdf differ diff --git a/pset3/pset3.synctex.gz b/pset3/pset3.synctex.gz index 71715e3..11d062e 100644 Binary files a/pset3/pset3.synctex.gz and b/pset3/pset3.synctex.gz differ diff --git a/pset3/pset3.tex b/pset3/pset3.tex index c480b11..d619398 100644 --- a/pset3/pset3.tex +++ b/pset3/pset3.tex @@ -294,24 +294,26 @@ The Consumer Expenditure Survey finds that a typical consumer in the U.S. buys 1 \begin{enumerate}[(a)] \item Using 2016 as the base year, what is the CPI in 2016? - The CPI in the base year is always \textbf{100}. + \begin{align*} + \text{CPI in 2016} = \$60 + 7 \times 80 = 60 + 560 = \textbf{\$620} + \end{align*} \item Using 2016 as the base year, what is the CPI in 2020? \begin{align*} - \text{CPI} = \frac{\text{Cost of Basket in 2020}}{\text{Cost of Basket in 2016}} \times 100 = \frac{70 + 9 \times 80}{60 + 7 \times 80} \times 100 = \textbf{147.42} + \text{CPI in 2020} = \$70 + 9 \times 80 = 70 + 720 = \textbf{\$790} \end{align*} \item Calculate inflation between 2016 and 2020 \begin{align*} - \text{Inflation} = \frac{\text{CPI in 2020} - \text{CPI in 2016}}{\text{CPI in 2016}} \times 100 = \frac{147.42 - 100}{100} \times 100 = \textbf{47.42\%} + \text{CPI} = \frac{\text{Cost of Basket in 2020}}{\text{Cost of Basket in 2016}} \times 100 = \frac{70 + 9 \times 80}{60 + 7 \times 80} \times 100 = \frac{790}{620} \times 100 = \textbf{127.42} \end{align*} \item If you were making \$10/hr in 2016, how much would you have to make in 2020 for your purchasing power to remain constant, given our inflation estimate? \begin{align*} - \text{New Wage} = \text{Old Wage} \times \left(1 + \frac{\text{Inflation}}{100}\right) = 10 \times \left(1 + \frac{47.42}{100}\right) = \textbf{\$14.74}\text{/hr} + \text{New Wage} = \text{Old Wage} \times \left(1 + \frac{\text{Inflation}}{100}\right) = 10 \times \left(1 + \frac{27.42}{100}\right) = 10 \times 2.2742 = \textbf{\$12.74/hr} \end{align*} \item \textbf{(2 Points)} If we wanted to calculate inflation accurately, what are some shortcomings of using the CPI that we constructed in this problem?