If Everyone Buys the Same Goods Every Year and the Price

question 90

Multiple Choice

If everyone buys the same goods every year and the price of housing rises by 38%,it is:

• A) certain the consumer price index (CPI) has increased; if your nominal wage has risen by less than 38%, your real wage has fallen.
• B) certain the CPI has increased; if your nominal wage has risen by more than 38%, your real wage has risen.
• C) possible that the CPI has increased, but it is certain your real wage has fallen.
• D) possible that the CPI has increased; however, it is certain your real wage has risen if, and only if, your nominal wage increased by more than 19% because housing accounts for exactly 50% of the CPI.
• E) not possible to tell what happened to the CPI because other than for housing, we do not know what happened to the prices of any of the other goods.

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Definitions:

Interpersonal Therapeutic Factors

Elements within therapeutic relationships that contribute to healing and growth, such as empathy, trust, and mutual respect.

Premature Termination

The ending of a process or service earlier than planned or before its natural conclusion, often used in the context of therapy or contracts.

Casualties

Refers to individuals who are injured, killed, or otherwise incapacitated as a result of accidents, natural disasters, or military action.

Psychodrama

A therapeutic technique in which people enact scenes from their lives, dreams, or imaginations under the guidance of a therapist, to gain insight and resolve problems.