As an International Price Index for Studying Purchasing Power Parity,the

question 16

Multiple Choice

As an international price index for studying purchasing power parity,the Economist's "Big Mac Index" suffers from several defects. A graduate student in Economics wishes to construct a somewhat better index. Among the following choices,the most suitable output for this purpose would be

• A) a haircut
• B) a laptop computer
• C) a two-bedroom apartment
• D) a basket of goods consisting of a Dunlop radial tire, a 60-watt General Electric light bulb, a Nokia cell phone, and a 12-ounce can of Coca Cola
• E) a basket of goods and services consisting of one acre of undeveloped land, a one-mile taxi cab ride, a one-year government bond, and one gallon of milk

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Definitions:

Ineffective Listener

An individual who fails to attentively hear or properly interpret messages in communication, leading to misunderstandings.

Listens Passively

Describes someone who hears information without actively engaging in the listening process, often not responding or giving feedback.

Reluctant Listener

An individual who is hesitant or unwilling to listen to the information being communicated.

Surface Listener

An individual who hears words being spoken but does not fully engage or process the information deeply.