Which of the Following Explains Why Resource Prices Are Often

question 69

Multiple Choice

Which of the following explains why resource prices are often the slowest prices to adjust?

• A) Resource prices are not affected by inflation.
• B) Resource prices are often set by lengthy contracts.
• C) Resource prices are often set by governments.
• D) Resource prices are not reported in the consumer price index (CPI).
• E) Resource prices are all tied to inflation.

Understand the impact of cognitive factors on the development and maintenance of anxiety disorders.

Identify different types of dissociative disorders and their symptoms.

Understand the relationship between traumatic experiences and the development of certain psychological disorders.

Understand how automatic stabilizers like unemployment insurance and welfare programs work during recessions.

---

Definitions:

Pure Rent

Pure Rent refers to the income earned from the use of land or other natural resources when supply is perfectly inelastic.

Fixed Supply

A situation where the quantity of a good available is constant and does not change in response to price changes.

One-Of-A-Kind

Unique, without any identical counterpart.

Pure Rent

Payment to a factor of production (land, specifically) in excess of what is needed to keep it in its current use.