The _____ is the absolute price of a good or service that has been adjusted for the changing value of money.
A)market price
B)choke price
C)nominal price
D)real price

Question

Quizplus · Accepted Answer

The real price is the absolute price of a good or service that has been adjusted for the changing value of money, which means that it is the price adjusted for inflation. The nominal price (choice C) is the price of a good or service without adjustments for inflation, and therefore does not provide an accurate reflection of the true cost of the item. Market price (choice A) is simply the price at which a good or service is currently being sold in the market, and choke price (choice B) is the minimum price at which a product or service can be produced or offered without the producer suffering losses.

The _____ Is the Absolute Price of a Good or Service