Westminster International University in Tashkent buss001c quantitative Methods, Semester I, 2021/2022 Tutorial Index Numbers Question 1

Westminster International University in Tashkent
3BUSS001C - Quantitative Methods, Semester I, 2021/2022
Tutorial 4 Index Numbers
Question 1. Compute a simple price (fixed-base) index for the following monthly price of Dow Jones Industrial Average (DJI-USD) in 2021.

Months	Price
January	29982.62
February	30932.37
March	32981.55
April	33874.85
May	34529.45
June	34502.51
July	34935.47
August	35360.73
September	33843.92
October	34326.46

Question 2. Rebase your answer to the problem above, a) using chain base index and b) making October the base year.


Question 3. The table below shows the Human Development Index (HDI) for Central Asian countries, including Uzbekistan.

Country	2014	2015	2016	2017	2018	2019	2020
Afghanistan	46.3	47.1	48.2	48.7	49.1	49.6	51.1
Kazakhstan	76.5	77.2	78.1	78.8	79.3	81.7	82.5
Kyrgyzstan	63.6	63.9	64.9	65.8	66.3	67.4	69.7
Tajikistan	63.4	63.7	64.2	64.6	64.5	65.6	66.8
Turkmenistan	67.3	68	68.6	69.2	69.7	71	71.5
Uzbekistan	66.6	67.4	68.3	69	69.5	71	72

In order to see how Uzbekistan improved its position, calculate the fixed-base index numbers for the index of Uzbekistan making the base year a) 2014; b) 2019.

Question 4. The table below shows the foreign trade (exports and imports in million USD) of Uzbekistan.

	2012	2013	2014	2015	2016	2017	2018	2019	2020
Export	14 165	15 344	13 594	12 549	12 166	12 898	13 079	14 929	13 280
Import	16 833	17 817	13 965	12 366	12 161	14 126	17 314	21 867	20 020

Find the chain base indices of both export and import figure


Question 5. Suppose the Government wishes to compare the cost of family food buying over the years. A basket of five items is used (list of goods consumed by an average person per month in): lamb, eggs, bread, water, and cheese. Use the data in the following table to construct a simple (un-weighted) mean price index for the years 2018, 2019 and 2020 using 2019 as the base year:

Item	2018	2019	2020
Lamb (4 kilo)	198 000	255 000	300 000
Eggs (18 dozen)	10 190	12 540	18 000
Bread (10 pieces)	12 000	14 000	16 000
Tea (200 g)	50 000	87 000	92 000
Cottage Cheese (400 g)	10 900	12 300	13 800

Question 6. Repeat the work in question 5 to find simple aggregate price index for the year 2020 and 2019 using 2018 as the base year.


Question 7. Referring to the data in Q3 above, calculate the a) SMI and b) SAI for all the Central Asian countries. Assume 2017 as the base year.