Author Question: If the basket of goods and services used to calculate the CPI cost 200 in the reference base period ... (Read 114 times)

jman1234 · **on:** Jun 29, 2018

If the basket of goods and services used to calculate the CPI cost 200 in the reference base period and 450 in a later year, the CPI for the latter year equals

A) 200.
B) 225.
C) 325.
D) 450.

Question 2

A tradeoff is

A) represented by a point inside a PPF.
B) represented by a point outside a PPF.
C) a constraint that requires giving up one thing to get another.
D) a transaction at a price either above or below the equilibrium price.