A Technological Improvement in the Production of Good a

question 133

Multiple Choice

A technological improvement in the production of good A

• A)decreases the quantity demanded of A.
• B)decreases the supply of A.
• C)increases the supply of A.
• D)increases the demand for A.
• E)decreases the equilibrium price of A and decreases the equilibrium quantity.

---

Definitions:

Gauge Of Inflation

A measure that reflects how much and how quickly prices for goods and services rise over a period, indicating the rate of inflation.

Basket Of Goods

A fixed set of consumer products and services valued on a regular basis for purposes of tracking inflation.

CPI

The Consumer Price Index measures the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.

Every Month

Refers to occurrences or measurements that happen or are evaluated on a monthly basis.