The table shows index values for the three categories in a simplified CPI basket. The earlier and later index values are one year apart.
| Category | Weight in basket | Earlier index | Later index |
|---|---|---|---|
| Recreation and culture | 45% | 125.0 | 130.0 |
| Clothing and footwear | 35% | 140.0 | 137.2 |
| Restaurants and hotels | 20% | 160.0 | 168.0 |
Calculate the weighted inflation rate for the basket. Give your answer to 1 decimal place.
62 exam-style questions on OCR GCSE Economics 3.4 Price stability, covering 3.4.1 Price stability and inflation, 3.4.2 Measuring inflation with CPI, 3.4.3 Calculate the effect of inflation, 3.4.4 Analyse inflation figures, and 3.4.5 Causes and consequences of inflation. Each one has a worked solution and a mark scheme showing where the marks go.