The Price Index in the First Year Is 110,in the Second

question 45

Multiple Choice

The price index in the first year is 110,in the second year is 100,and in the third year is 96.The economy experienced

• A)9.1 percent deflation between the first and second years,and 4 percent deflation between the second and third years.
• B)9.1 percent deflation between the first and second years,and 9.6 percent deflation between the second and third years.
• C)10 percent deflation between the first and second years,and 4 percent deflation between the second and third years.
• D)10 percent deflation between the first and second years,and 8.7 percent deflation between the second and third years.

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