Changes in the Relative Prices of Goods Causes Problems Measuring

question 33

Multiple Choice

Changes in the relative prices of goods causes problems measuring real GDP because

• A)they tend to be inaccurate.
• B)firms produce more of the cheaper good.
• C)consumers buy less of the cheaper good.
• D)consumers change their buying habits.
• E)price deflators only measure the price level.

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Definitions:

CEO Activism

CEOs and company leaders taking public positions on political and social issues on a local, national or global basis.

Racial Tensions

Strain and conflict in relationships between different ethnic groups within a society, often stemming from social, economic, and political inequalities.

Cultural Intelligence

The need for company leaders to recognize and comprehend different beliefs, practices, attitudes, and behaviors of a group or market area and then apply that cultural knowledge to attain goals.

Beliefs

Fundamental convictions or principles that guide an individual's or group's behavior and decision-making process.