Question

Predict adjusted wages in 1998 does this prediction require interpolation or extrapolating

Answer 1

Answer:

The required interpolation in adjusted 2020 is 0.50

Step-by-step explanation:

We find the interpolation using the formula:

`y=y_1+(y_2-y_1)/(x_2-x_1)(x-x_1)`

Let us choose these points as follows:

`\begin{gathered} x_1=7.69 \\ x_2=7.87 \\ y_1=3.80 \\ y_2=5.15 \end{gathered}`

So,

`\begin{gathered} y=3.80+(5.15-3.80)/(7.87-7.69)(x-7.69) \\ \\ =3.80+(1.35)/(0.18)(x-7.69) \\ \\ =3.80+7.5(x-7.69) \\ y=7.5x-53.875 \end{gathered}`

In adjusted 2020, we have x = 7.25, using this, we have:

`\begin{gathered} y=7.5(7.25)-53.875 \\ =54.375-53.875 \\ =0.50 \end{gathered}`