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suppose the median household earned $9,096 in 1976 and $52,382 in 2016. during that time, also suppose the cpi rose from 53.6 to 217.11. instructions: round your answers to one decimal place. a. the total growth rate in nominal median household income from 1976 to 2016 was: 475.9 %. b. the total growth rate in real median household income from 1976 to 2016 was:

Answer

From 1976 to 2016, the CPI showed an increase from 53.6 to 217.11. Meanwhile, the nominal median household income had a tremendous growth rate of 475.9%, but the inflation rate was calculated at 304.38%. When we take these values into consideration, the real median household income growth rate from 1976 to 2016 was determined at 171.52%. It is important to note that the median household income was $9,096 in 1976 and $52,382 in 2016. The nominal median household income growth rate for this same period was 475.9%. To calculate the growth rate of real median household income, we need to apply the CPI figures for both 1976 and 2016. We can calculate the inflation rate as ((217.11 - 53.6) / 53.6) x 100% = 304.38%. By using the total nominal median household income growth rate of 475.9% and the inflation rate of 304.38%, we can determine that the total real median household income growth rate from 1976 to 2016 is 171.52%. Therefore, the total growth rate in real median household income from 1976 to 2016 was 171.52%. Visit brainly.com/question/14868990 to learn more about CPI.