Which of the following most accurately describes what occurs during a time of inflation?
A) People must work longer to live as well.
B) Prices rise faster than incomes.
C) The average standard of living declines.
D) The cost of living increases.
E) The purchasing power of money falls.
E
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Refer to the table above. What is the opportunity cost of commute per month to work if Ryan rents Apartment 2?
A) $20 B) $150 C) $200 D) $300
Using the government as a means of redistribution generates equity at the cost of efficiency, in part because
A) the process of redistribution uses up some of society's resources. B) the process of redistribution creates new resources for society. C) redistribution creates new incentives to work for both rich and poor. D) redistribution would not take place otherwise.
Although the United States is the second largest exporting country, international trade is less important to the United States than it is to most other countries
Indicate whether the statement is true or false
The nominal price of milk was $2.25 in 1998 while the CPI was 163.0 that year. Also, the CPI in 1970 was 38.8. What was the real value of 1998 milk in terms of 1970 dollars?
What will be an ideal response?