Cryptocurrency Q&A
What is the limitation of index numbers?
What is the limitation of index numbers?
Alessandra
Tue Dec 03 2024
|
5 answers
1288
I'm trying to understand the limitations of index numbers. I want to know the constraints or restrictions that are typically associated with their use.
5 answers
HallyuHeroLegendaryStar
Thu Dec 05 2024
The process of selecting and compiling these samples involves deliberation, which opens up the possibility for human error.
Was this helpful?
371
57
BitcoinBaron
Thu Dec 05 2024
The limitations associated with index numbers are noteworthy.
Was this helpful?
260
87
SsamziegangStroll
Thu Dec 05 2024
One major drawback is the potential for errors. This is because index numbers are derived from samples.
Was this helpful?
371
56
GwanghwamunGuardianAngel
Wed Dec 04 2024
Furthermore, errors can also arise in the weights assigned to various components within the index.
Was this helpful?
144
45
BonsaiVitality
Wed Dec 04 2024
Additionally, the choice of base period can impact the interpretation of index numbers.
Was this helpful?
142
32
