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Theory: The Two-situation Case

In: Index Numbers in Theory and Practice

Author

Listed:
  • R. G. D. Allen

Abstract

The given data are sets of observations of prices and quantities for n commodities (goods and services). The data relate to specified groups (e.g. of buyers or sellers) in defined markets or geographical areas and for particular time periods. It is convenient, but not essential, to think of a specified group of consumers purchasing the goods and services and to describe the set of quantities as a budget for the group of consumers. This, at least, serves to keep the economic aspect of index numbers clearly in mind.

Suggested Citation

  • R. G. D. Allen, 1975. "Theory: The Two-situation Case," Palgrave Macmillan Books, in: Index Numbers in Theory and Practice, chapter 2, pages 50-75, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-02312-7_2
    DOI: 10.1007/978-1-349-02312-7_2
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