As Applied to the Price Level, the "Rule of 70

question 194

Multiple Choice

As applied to the price level, the "rule of 70" indicates that the number of years required for the price level to double can be found by

• A)dividing 70 into the annual rate of inflation.
• B)dividing the annual rate of inflation into 70.
• C)subtracting the annual change in nominal incomes from 70.
• D)multiplying the annual rate of inflation by 70.

---

Definitions:

Total Allowable Catch Policies

Regulations determining the maximum quantity of a particular species of fish that can be caught over a certain period of time to prevent overfishing.

Pacific Halibut

A species of flatfish found in the North Pacific Ocean, prized for its tender, white flesh.

ITQs

Short for Individual Transferable Quotas, a regulatory tool to control the total allowable catches in fishing, by allocating specific amounts to individual fishers or companies.

Pacific Halibut

A species of flatfish native to the North Pacific Ocean, known for its popularity in commercial and recreational fishing.