What does it mean when the CPI is higher this year than last?

A) The rate of inflation has increased.
B) There has been inflation since last year.
C) Real prices have increased.
D) Real prices have decreased.


B

Economics

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Actual GDP will be below potential GDP

a. when the economy is at full employment. b. during an economic boom. c. when resources are fully utilized. d. during a recession.

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Calculate the percentage change in prices from 2007 to 2009.

A. 200% B. 100% C. 175% D. 150%.

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What does the cross-price elasticity of demand measure? How is it calculated?

What will be an ideal response?

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Explain the following statement: "Good decisions typically require marginal analysis, which weighs added costs against added benefits."

Economics