Suppose That the Price of Good X Increases from $3

question 95

Multiple Choice

Suppose that the price of good X increases from $3.00 to $4.00 while the price of good Y increases from $150 to $200. The relative price of X (in terms of Y)

• A)has risen.
• B)remained constant.
• C)has fallen.
• D)cannot be determined from the above data.
• E)is completely unrelated to the price of good Y.

---

Definitions:

Neurotic Need

Excessive, compulsive desires that occur in an individual due to psychological conflicts or anxieties.

Unconscious Forces

The underlying, often hidden, motivations and desires that influence thoughts, feelings, and behaviors, according to psychoanalytic theory.

Situational Variables

External factors or conditions that can influence the outcome of research or the behavior of individuals in a given context.

Erikson

Refers to Erik Erikson, a developmental psychologist known for his theory on the psychosocial stages of human development.