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Principles of Economics Study Set 4
Quiz 16: Inflation and the Price Level
If the Consumer Price Index Increased from 1
Question 10
Multiple Choice
If the Consumer Price Index increased from 1.52 to 1.65,then it must be the case that ______ relative to prices in the base year. A)all prices rose B)the weighted average level of prices rose C)all prices fell D)some prices rose and some prices fell
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Related questions
Q 11
The Consumer Price Index measures the cost of: A)a fixed basket of goods and services. B)a changing basket of goods and services. C)all goods and services purchased by consumers. D)goods and services required to live above the poverty level.
Q 12
A consumer expenditure survey reports the following information on consumer protein spending:
Using 2005 as the base year,by how much does a "cost of protein" index increase between 2005 and 2006? A)5.2% B)8.6% C)13.4% D)14.3%
Q 13
A consumer expenditure survey reports the following information on entertainment spending:
Using 2005 as the base year,by how much does a "cost of entertainment" index increase between 2005 and 2006? A)3.86% B)8.65% C)13.43% D)29.41%
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