The prices of different house types in south-east England are given in the table below:
Year
Terraced houses
Semi-detached
Detached
Bungalows
Flats
1991
59 844
77 791
142 630
89 100
47 676
1992
55 769
73 839
137 053
82 109
43 695
1993
55 571
71 208
129 414
82 734
42 746
1994
57 296
71 850
130 159
83 471
44 092
(a) If the numbers of each type of house in 1991 were 1898, 1600, 1601, 499 and 1702 respectively, calculate the Laspeyres price index for 1991–94, based on 1991 =
100.
(b) Calculate the Paasche price index, based on the following numbers of dwellings:
1903
1615
505
1710
1906
1638
1633
511
1714
1911
1655
1640
525
1717
(c) Compare Paasche and Laspeyres price series.
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