Consider the following two piece index series:
2008=100 2012=100 2010=100
2007 94 A
2008 100 B
2009 115 C
2010 110 80 D
2011 90 E
2012 100 F
2013 115 G
Splice the two price index series to form one continuous series with 2010 as the base year.
Find the value of B.
To splice the two index series together, we need to convert all values to a base year of 2010.
For the first index series:
2008=100 2012=100 2010=100
2007 94 A
2008 100 B
2009 115 C
2010 110 80 D
2011 90 E
2012 100 F
2013 115 G
For the second index series:
2010=100
2007 94
2008
2009 120
2010 110
2011 80
2012 100
2013 140
Now we can splice the two series together:
2007 94
2008 (100 + 100)/2 = 100
2009 (115 +120)/2 = 117.5 (rounded to 118)
2010 (110 +110)/2 = 110
2011 (90+80)/2 = 85
2012 (100 +100)/2 = 100
2013 (115+140)/2 = 127.5 (rounded to 128)
Therefore, the value of B in the spliced series is 100.