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Understanding Consumer Debt Growth: Analyzing Trends and Percent Changes

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11 diapositives · 251 Views · Jul 23, 2014

Consumer debt has surged by 39% over the past five years, reaching an alarming $1.3 trillion. This article explores the historical context of consumer debt, calculating its value five years ago at approximately $793 billion. We delve into mathematical principles involving percentage changes and their implications. Additionally, we examine employment trends in the cellular telecommunications sector, with a case study showing a change from 100 employees in 2000 to calculating totals for 2002. Join us in understanding economic isssues through math!

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Understanding Consumer Debt Growth: Analyzing Trends and Percent Changes
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  1. Assignment 5

  2. Consumer debt has soared 39% in the last five years and is now $1.3 trillion. What was consumer debt five years ago?

  3. What a lot of you did… 1.3trillion – (.39*1.3trillion) = $ 0.793trillion

  4. Three things: 1. First you can check your answer:

  5. You can’t decrease some value in substitute for an increase in reverse: Example: If I have 10 apples and they increase by 50% I then have 15 apples. If I have 15 apples and they decrease by 50% I then have 7.5 apples.

  6. Consumer debt has soared 39% in the last five years and is now $1.3 trillion. What was consumer debt five years ago? 3. What’s happening in the problem?

  7. New Value = $1.3trillion Reference Value = ? % change = 39% = .39

  8. Check it:

  9. 3. There were 100 cellular telecommunications employees in the year 2000. The number of cellular telecommunications employees increased 10.4% from 2000 to 2001 and decreased 5.5% from 2001 to 2002.  What was the overall percent change in the number of employees from 2000 to 2002?  How many cellular telecommunications employees were there in 2002?

  10. Many of you did… 100 + (100*.104) = 110.4 in 2001 110.4 – (110.4*.055) = 104 employees in 2002 Percent Change:

  11. Few of you did… (1 ± P1)*(1 ± P2) – 1 = % Change (1 + .104)*(1 - .055) – 1 = .0433 = 4.33% How many employees?