When Inflation Causes Relative-Price Variability Consumer Decisions

question 45

Multiple Choice

When inflation causes relative-price variability consumer decisions,

• A)are distorted and the ability of markets to efficiently allocate factors of production is impaired.
• B)are distorted, but markets are still able to efficiently allocate factors of production.
• C)are not distorted, but the ability of markets to efficiently allocate factors of production is impaired.
• D)are not distorted and markets are still able to efficiently allocate factors of production.

---

Definitions:

Accompanying Figure

An accompanying figure is an illustrative or graphical addition to a body of text, intended to provide visual context or clarification to the accompanying content.

Selection Sort

A simple, comparison-based sorting algorithm that divides the input list into two parts: the sorted part at the beginning and the unsorted part that remains, moving through the list by selecting the smallest or largest unresolved element.

Outer For Loop

The first loop in nested for-loops which controls the iteration of the inner loop, usually responsible for the broader range of iteration.

Sequential Search

An algorithm that checks each element in a data set one by one until the desired element is found or the end is reached.