Index Numbers Make It Possible to Compare

question 65

Multiple Choice

Index numbers make it possible to compare

• A)movements in different variables measured in the same units.
• B)linear and logarithmic data.
• C)time- series data with cross- sectional data.
• D)government data with private- sector data.
• E)movements in different variables measured in different units.

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Definitions:

Public Good

Services or commodities made available to every person in a society free of cost, courtesy of either the government or non-governmental organizations, devoid of profit objectives.

Marginal Benefit

Marginal Benefit is the additional satisfaction or utility that a person receives from consuming an additional unit of a good or service.

Marginal Cost

The supplementary expense associated with creating an additional unit of a product or service.

Principal-Agent Problem

A scenario in which there is a conflict of interest between a party that delegates work (principal) and the party that performs the work (agent).