FT Blog: Non-alcoholic beer and pet grooming added to the UK inflation basket
Financial Times article
This blog is based on the article published by the Financial Times on March 16 2026
https://www.ft.com/content/3ebefe9b-5bf3-4bd3-aed6-47d7dcbc39b7?syn-25a6b1a6=1
This article is part of the Financial Times free schools access programme. Details/registration here.
Non-alcoholic beer and pet grooming added to the UK inflation basket
a. Define the term inflation. [2]
b. Explain how a price index is used to measure inflation. [4]
c. Outline how improvements in technology have changed the way price data has been collected. [2]
d. Using a demand and supply diagram, explain why pet grooming services might have entered the UK’s consumer price index. [4]
e. Using a cost/benefit diagram, explain how more people consuming non alcoholic beer might affect market failure in the alcohol market. [4]
f. Explain why the types of goods bought by different groups of people can make it difficult to measure inflation. [4]
Total [20]