Friday , September 13 2024
Home / Video / Composite Commodities: Laspayre’s and Paasche Indices

Composite Commodities: Laspayre’s and Paasche Indices

Summary:
bit.ly/dsia04d – Part D of Lecture 4 on Descriptive Statistics: An Islamic Approach – A price index is a the price of a composite commodity, which is a particular basket of goods. Inflation can be measured by price changes of this composite commodity. How do we choose proportions of goods within the composite commodity. Laspayre ...

Topics:
Asad Zaman considers the following as important:

This could be interesting, too:

Robert Vienneau writes Ludwig Von Mises, Male Chauvinist

Lars Pålsson Syll writes The demise of the ‘Swedish model’

Mike Norman writes Xu Gao’s case for stimulus—Chief Economist of Bank of China International tears apart the opposition — Yuxuan JIA and BU, Xiaoqing

Michael Hudson writes Debunking U.S. Bankruptcy Myths











bit.ly/dsia04d – Part D of Lecture 4 on Descriptive Statistics: An Islamic Approach – A price index is a the price of a composite commodity, which is a particular basket of goods. Inflation can be measured by price changes of this composite commodity. How do we choose proportions of goods within the composite commodity. Laspayre and Paasche indices are based on using aggregate consumption pattern in the past and the present as the weights in the consumption bundle. However, there are many other reasonable possibilities. Instead of the aggregate level, it makes more sense to look at consumption patterns of specific households to construct composite goods for price index and inflation.


Asad Zaman
Physician executive. All opinions are my personal. It is okay for me to be confused as I’m learning every day. Judge me and be confused as well.

Leave a Reply

Your email address will not be published. Required fields are marked *