How to calculate Laspeyres price index?

Determine the Laspeyres Price Index for Year 0, Year 1, and Year 2, using Year 0 as the base year. Using the formula for the Laspeyres Price Index: Therefore, the price indexes were as follows for each year: Year 1 = 128.23 Year 2 = 123.53 Note that, with this index, the only changes are the prices over the years.
For More Information Please Refer:


You May Also Like to Read: