Question No 31:
Definition of the splicing an index?
Aka - rebasing - redefining the base year of an index
creates a situation where the P₁ value would be <100
eg) if P₁ were for 1993 and P₀ were 2000 and there was inflation in the commodity price you might see the index relative for 1993 (P₁) at 97, etc.
