If the Aggregate Price Level at Time T Is Denoted $\pi_{t}=\left(P_{t}-P_{t}-1\right) / P_{t-1}$

question 76

Multiple Choice

If the aggregate price level at time t is denoted by Pt, the inflation rate from time t - 1 to t is defined as

• A) \( \pi_{t}=\left(P_{t}-P_{t}-1\right) / P_{t-1} \)
• B) \( \pi_{\mathrm{t}}=\left(\mathrm{Pt}+1-\mathrm{Pt}_{\mathrm{t}}-1\right) / \mathrm{Pt}-1 \)
• C) \( \pi_{t}=\left(P_{t}+1-P_{t}\right) P_{t} \)
• D) \( \pi_{\mathrm{t}}=\left(\mathrm{Pt}_{\mathrm{t}}-\mathrm{Pt}_{\mathrm{t}}-1\right) / \mathrm{Pt} \)

---

Definitions:

Mediastinum

The central compartment of the thoracic cavity, surrounded by loose connective tissue, that contains the heart, trachea, esophagus, and other structures.

Diaphragm

A large, dome-shaped muscle at the base of the lungs that plays a critical role in breathing.

Celiac Trunk

A major artery that supplies the abdominal organs including the liver, stomach, and spleen with blood.

Superior Mesenteric Artery

A major artery that supplies blood to a large portion of the lower intestine, including the jejunum, ileum, and colon.