Indexing an economic times series

Bond · March 5th, 2003, 2:50 am

Can anyone explain to me, in plain terms with an example, what indexing an economic seriesentails and on what type of series this is usually used on?thanks

pareshgokhale · March 10th, 2003, 5:19 am

HIindexing works as below:for a given data series you fix a base year .The value of the variable you are analysing in that base year is assumed to be say 100 or any other convenient number.The later series values are scaled accordingly.