The Table Below Shows the Monthly Inflation Rate Using the CPI

question 236

Multiple Choice

The table below shows the monthly inflation rate using the CPI deflator in 2008.

The data show that

• A) commodity substitution bias occurred in August.
• B) an increase in food and energy prices occurred in July.
• C) cost the CPI basket decreased over the 5- month period.
• D) food and energy prices increased steadily over the period.

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Definitions:

Attitudes

A learned predisposition to respond in a consistently favorable or unfavorable manner with respect to a given object.

Cognitive Dissonance

The mental discomfort experienced by an individual who holds two or more contradictory beliefs, ideas, or values at the same time.

Emotional Discomfort

A feeling of unease or distress associated with difficult emotions or situations.

Group Responsibility

The concept that a collective group can be held accountable or responsible for actions or outcomes, often in a social or work context.