Suppose a market basket of goods and services costs $1,000 in the base year and the consumer price index (CPI) is currently 110 . This indicates the price of the market basket of goods and services is now:
a. $110.
b. $1,000.
c. $1,100.
d. $1,225.
c
You might also like to view...
Use headlines from the recent news to illustrate the potential for conflict between self-interest and the social interest
What will be an ideal response?
A price floor establishes a minimum price, and a price ceiling establishes a maximum price
Indicate whether the statement is true or false
In 2001, Congress and President Bush instituted tax cuts. According to the short-run Phillips curve, in the short run this change should have
a. reduced inflation and unemployment. b. raised inflation and unemployment. c. reduce inflation and raised unemployment. d. raised inflation and reduced unemployment.
A market is said to be in equilibrium when
A. The buying intentions of all consumers are realized. B. The supply intentions of all sellers are realized. C. The quantity demanded equals the quantity supplied. D. Demand is fully satisfied at all alternative prices.