edgeworth.index.number {IndexNumber}

Calculate the Edgeworth index number

Description

This function determines the Marshall-Edgeworth index number for those cases in which there exist more than an only product.

Usage

edgeworth.index.number(x, y, name, opt.plot = FALSE, opt.summary = FALSE)

Arguments

x

Matrix that contains the magnitude(s) under study. In each column, it contains the magnitude of a different product considered. Thus, we have nrow(x) values of a magnitude for ncol(x) products.

y

Matrix that contains that magnitude used as weight. In each column, it contains another magnitude associated to each different product along the time. Thus, we have nrow(x) values of magnitudes for the set of ncol(x) products.

name

Chain of characters to indicate the name of the variable under study.

opt.plot

Logical option to indicate if a graphical descriptiony of the index number along the different stages is required. It takes the value TRUE or FALSE.

opt.summary

Logical option to indicate if a statistical summary of the index number is required. It takes the value TRUE or FALSE.

Value

Summary

Statistical summary (optional) of the index number along the considered period.

Agg. index number

Table containing the values of the index number for the considered stages and the aggregate value.

Graphical

Graphical summary (optional) of the index number along the considered period.

Author(s)

A. Saavedra-Nieves, P. Saavedra-Nieves

References

Edgeworth, F. (1887) Measurement of change in value of money i. First Memorandum presented to the British Association for the Advancement of Science. Reprinted in his Papers Relating to Political Economy, 1, 198–259.

Marshall, A. (1887) Remedies for fluctuations of general prices. The Contemporary review, 1866-1900, 51, 355–375.

Examples

prices<-matrix(c(70,75,77,77,85,90,85,75,77,87,85,90,70,75,77,77,85,90),ncol=3)
weights<-matrix(c(1,1.5,0.8,1.1,1,0.9,0.7,0.8,0.6,1,1.1,0.9,1,1,0.9,1.1,0.6,0.8),ncol=3)
edgeworth.index.number(prices,weights,"Price",opt.plot=TRUE,opt.summary=TRUE)