If the Consumer Price Index (CPI)this Year Is 162 and Last

question 131

Multiple Choice

If the consumer price index (CPI) this year is 162 and last year it was 170,the inflation rate

• A)is positive.
• B)is negative.
• C)has decreased since last year.
• D)has increased since last year.
• E)is the same as last year.

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Definitions:

Proportional Tax

A tax system where the tax rate remains constant regardless of the amount subject to tax, meaning everyone pays the same proportion of their income.

Regressive Tax

A tax imposed in such a manner that the tax rate decreases as the amount subject to taxation increases, disproportionately affecting lower-income individuals.

Interactional Justice

Refers to the quality of the interpersonal treatment people receive when a decision is implemented.

Procedural Justice

Refers to perceptions that the process used to determine the outcomes were fair.