-->

Index Numbers

Question
CBSEENST11024673

Index number of area under principal crops with base year 1981-82 (= 100) are riven below:

Years

Food grains

Base 1981-82 = 100 Non-food grains

1990-1991

100.7

120.0

1993-1994

96.7

127.3

1994-1995

97.6

126.2

1995-1996

95.3

131.7

1996-1997

97.4

134.6

1997-1998

97.6

133.5

1998-1999

98.8

135.4

Interpret the data. What conclusions would you draw? Write a short note.

Solution

The index numbers reveal the following trend with respect to the area under cultivation for grain and non-foodgrains.

Over a period of time i.e. for the last 7 years area under cultivation for food grains is showing a downward/ decreasing trend and that of nonfood grains is showing an upward trend.