Suppose the Quality of Televisions Changes Over Time,but the Quality

question 100

Multiple Choice

Suppose the quality of televisions changes over time,but the quality change goes unmeasured for the purpose of computing the consumer price index.In which of the following instances would the bias resulting from the unmeasured quality change be most severe?

• A)The quality of televisions deteriorates and televisions become more expensive relative to other goods.
• B)The quality of televisions improves and televisions become less expensive relative to other goods.
• C)The quality of televisions improves and televisions become more expensive relative to other goods.
• D)The quality of televisions deteriorates and the price of televisions relative to other prices remains unchanged.

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Definitions:

Ingroup

“Us”—people with whom we share a common identity.

Just-world Phenomenon

The belief that the world is inherently fair, and thus people get what they deserve and deserve what they get.

Bystander Effect

A social psychological phenomenon in which individuals are less likely to offer help to a victim when other people are present, under the assumption that someone else will take action.

Scapegoat Theory

A social psychological concept that suggests individuals or groups are unfairly blamed for problems not of their making.