Question

If laspeyres and fishers index numbers are same and equal to 125 then the paasches index number is equal to

Answer 1

Answer:

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Answer 2

Answer:

The Paasche's index number is P.I  = 125

Step-by-step explanation:

Laspeyres index number L.I = 125

Fisher's index number F.I=125

Paasche's index number P.I=?

F.I, L.I, and P.I are related by the formula

$F.I=\sqrt{(L.I)(P.I)}$

Put L.I= 125, and 125 for F.I

125 = $\sqrt{125(P.I)}$

Squaring on both sides

$125^{2}=125(P.I)$

We get,

$P.I = \frac{125^{2} }{125}$

P.I =125

Therefore, the Paasches index number P.I is 125