Suppose the price of a quart of milk rises from $1.00 to $1.20 and the price of a T-shirt rises from $8.00 to $9.60. If the CPI rises from 150 to 195, then people likely will buy
A)more milk and more T-shirts.
B)more milk and fewer T-shirts.
C)less milk and more T-shirts.
D)less milk and fewer T-shirts.

Question

Quizplus · Accepted Answer

The Answer of Suppose the price of a quart of milk rises from $1.00 to $1.20 and the price of a T-shirt rises from $8.00 to $9.60. If the CPI rises from 150 to 195, then people likely will buy
A)more milk and more T-shirts.
B)more milk and fewer T-shirts.
C)less milk and more T-shirts.
D)less milk and fewer T-shirts.

Suppose the Price of a Quart of Milk Rises from $1.00