Most economists believe that the biases in the consumer price index cause the CPI to overstate the true inflation rate by about
A) one-half to one percentage point.
B) one to two percentage points.
C) one quarter percentage point.
D) one and one-half percentage points.
Answer: A
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Who is likely to complain to state regulatory authorities about unlicensed movers defrauding customers?
A) Consumer organizations B) Individual customers who are planning to move C) Individual customers who have already used unlicensed movers and have not been thoroughly satisfied D) Licensed movers E) Unlicensed movers
The demand curve in the figure above illustrates the demand for a product with
A) zero price elasticity of demand at all prices. B) infinite price elasticity of demand. C) unit price elasticity of demand at all prices. D) a price elasticity of demand that is different at all prices.
Which of the following is not a reason why firms merge?
a. to exercise greater market control b. to increase control over suppliers c. to expand their asset holdings d. to diversify their asset holdings e. to multiply the brands they offer
Senior citizens can buy movie tickets at a lower price than the general public. This is an example of
A) age discrimination. B) demand discrimination. C) price discrimination. D) price differentiation.