If the Price Index Is 100 in the Base Year

question 7

Multiple Choice

If the price index is 100 in the base year, and 104 in the next year, what happened to prices?

• A) Prices increased by 6%.
• B) Prices decreased by 6%.
• C) Prices increased by 4%.
• D) Prices decreased by 4%.
• E) Prices did not change.

Grasp the concept of motivation's role in performance, including its limitations and facilitators.

Explain how intrinsic and extrinsic motivations relate to performance quality and quantity.

Understand the complexities and challenges in diagnosing and treating psychological disorders.

Recognize the role of biological, psychological, and social factors in mental health and illness.

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Definitions:

Competitive Market

A market structure in which many firms offer products or services that are similar, allowing consumers to have choices, leading to lower prices due to competition.

Long-Run

A period in which all factors of production and costs are variable, allowing for full adjustment to any changes.

Market Demand

The total quantity of a good or service that all consumers are willing and able to purchase at various price levels within a given market, at a specific time.

Short Run

A time period during which at least one input, such as plant size or capital, is fixed and cannot be changed.