Table of Contents
What is the use of index number?
An index number is the measure of change in a variable (or group of variables) over time. It is typically used in economics to measure trends in a wide variety of areas including: stock market prices, cost of living, industrial or agricultural production, and imports.
What is index number Class 11?
An index number is a statistical device for measuring changes in the magnitude of a group of related variables. According to Croxton and Cowden, “Index numbers are devices for measuring difference in the magnitude of a group of related variables.”
What is the limitation of index number?
They are simply rough indications of the relative changes. The choice of representative commodities may lead to fallacious conclusions as they are based on samples. There may be errors in the choice of base periods or weights, etc.
Why index is very important for country?
The primary role of index numbers is to simplify otherwise complicated comparisons. It is especially useful when comparing currencies that have lots of different nominal values. Some countries even use index numbers to modify public policy, such as adjusting government benefits for inflation.
What are the two uses of index number?
1) Index numbers measure fluctuations during intervals of time, group differences of geographical position of degree, etc. 2) They are used to compare the total variations in the prices of different commodities in which the unit of measurements differs with time and price, etc.
Why do we study index number?
Index numbers are used to measure changes in the value of money. A study of the rise or fall in the value of money is essential for determining the direction of production and employment to facilitate future payments and to know changes in the real income of different groups of people at different places and times.
Can index numbers be misused?
They never exactly represent the changes in the relative level of a phenomenon. This is because; the index numbers are constructed mostly on the sample data. They are liable to be misused by a statistician with certain ulterior motive.
What are the advantages of HDI?
Advantages of using the HDI HDI uses 2 types of social data (health and education) and 1 type of economic data which means that the measure uses a broad range of information and is not tied up with only one measure. This is a much more accurate measure.
Why is HDI useful?
Overall, the HDI has the potential to provide a simple impression of development that can be unpacked to indicate progress with respect to the SDGs. It can be used to complement alternative measures of development.
Why is it important to use index numbers?
The primary role of index numbers is to simplify otherwise complicated comparisons. It is especially useful when comparing currencies that have lots of different nominal values. Some countries even use index numbers to modify public policy, such as adjusting government benefits for inflation.
What are advantages and disadvantages of indexing in database?
The advantages of indexes are as follows: 1 Their use in queries usually results in much better performance. 2 They make it possible to quickly retrieve (fetch) data. 3 They can be used for sorting. A post-fetch-sort operation can be eliminated. 4 Unique indexes guarantee uniquely identifiable records in the database. More
How is the value index used in business?
Though the value index enables comparison of the value of a commodity in a year to the value of that commodity in a base year, it has limited use. Generally, the value index is used in sales, inventories, foreign trade, etc. Index numbers are expressed in terms of numbers to show the extent of relative change· in price, output, consumption, etc.
Why do we need index in SQL Server?
To update or delete a row, the SQL server needs to first find that row, and the index can help in searching and finding that specific row quickly which ultimately improves the performance of the query.