The median home value in Iowa and Indiana adjusted for infla

The median home value in Iowa and Indiana (adjusted for inflation) are shown below. If we assume that the house values are changing linearly, a) In which state have home values increased at a higher rate? b) If these trends were to continue, what would be the median home value in Iowa in 2010? exist c) If we assume the linear trend existed before 1950 and continues after 2000, the two states\' median house values will be (or were) equal in what year? (The answer might be absurd) The year

Solution

Let x= 1950 and 2000 ; x= 50

Iowa : two points .(0, 38300) and ( 50 , 82500)

y = 884x + 38300

Indiana : two points (0, 37700) and (50 , 94300)

y = 1132x + 37700

Point of intersection of two (2.419 , 40438.71)

Year 1952 they will be same