In 2001, in Calculation of the Implicit Price Index, Statistics

question 156

Multiple Choice

In 2001, in calculation of the implicit price index, Statistics Canada switched from fixed based price index method to a chain-weighted index.The main reason for this was:

• A)to avoid complex calculation of the fixed based price index.
• B)to better represent the weight of each category especially the information technology sector.
• C)to avoid underestimation of the GDP growth, due to the rapid growth in the information technology sector.
• D)to be able to use the relatively constant weights for the items in the GDP year after year.

Identify the practices and implications of price discrimination through yield management.

Understand the principles and applications of various pricing strategies including cost-plus pricing, standard markup pricing, and target profit pricing.

Identify the differences between cost-oriented, demand-oriented, and profit-oriented pricing approaches.

Analyze the impact of the experience curve on pricing strategies in technology and manufacturing sectors.

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Definitions:

Resource Limitations

Constraints on the availability of resources such as time, money, manpower, and materials that can impact the execution of projects or tasks.

Interorganizational Agreements

Formal agreements between two or more organizations to cooperate on certain projects or share resources.

Mechanistic Organization

A highly structured and efficient organization form, characterized by rigid hierarchies, clear roles, and centralized decision-making.

Status Quo

The current status or circumstances, typically used to denote a scenario that has not altered.