Which of the following statements is correct?
a. In order to calculate the inflation rate for the year 2011, we need to know the values of the consumer price index for the years 2009, 2010, and 2011.
b. Changes in the consumer price index are often thought to be useful in predicting changes in the producer price index.
c. Despite its name, the "consumer price index" really measures the overall cost of the goods and services bought by consumers, business firms, and units of government.
d. If the prices of all goods and services changed proportionately over time, then the consumer price index would reflect no substitution bias.
d
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Refer to Figure 8A.1. When the economy reaches K, total saving is represented by point ________ and depreciation is represented by point ________
A) Y; e B) Y; Y C) e; e D) e; Y
The first step in the evolution of money involved the use of _____
a. physical commodities b. barter c. pieces of paper representing claims on physical commodities d. pieces of paper with no intrinsic value e. electronic entries representing claims on pieces of paper with no intrinsic value
Government decisions tend to be biased against actions that have
a. current costs and future benefits that are both easily observable. b. future costs that are difficult to identify and current benefits that are easily observable. c. future costs and future benefits that are both difficult to identify. d. current costs that are easily observable and future benefits that are difficult to identify.
One In the News article is titled "Challenging Work and Corporate Responsibility Will Lure MBA Grads." In the headline, which of the following determinants of labor supply is most explicitly mentioned?
A. Prices of consumer goods. B. Tastes. C. Expectations regarding prices of consumer goods. D. Taxes.