Which of the following functions are performed by changes in relative prices but not by changes in average prices?

A. Computing real income from nominal income.
B. Indicating an overheating economy.
C. Measuring the rates of inflation.
D. Signaling changes in the desired mix of output.


Answer: D

Economics

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The table above shows Mary's utility from chips and soda. The table shows that Mary has diminishing marginal utility for

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Economics