Assume that the consumer price index increased from 100 to 150 between year one and year two. What is the rate of inflation for year two?

A. 1.5%

B. 50%

C. 67%

D. 150%

E. 200%

**Correct Answer: **B, 50%. To calculate consumer inflation: (CPI current - CPI original) divided by (CPI original). Lastly, multiply the final answer by 100. Or NEW minus OLD over OLD times 100!

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