Indexation Refers to

question 109

Multiple Choice

Indexation refers to

• A)a process of adjusting the nominal interest rate so that it is equal to the real interest rate.
• B)using a law or contract to automatically correct a dollar amount for the effects of inflation.
• C)using a price index to deflate dollar values.
• D)an adjustment made by the Bureau of Labor Statistics to the CPI so that the index is in line with the GDP deflator.

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Definitions:

Zone Of Proximal Development

A concept in educational psychology referring to the difference between what a learner can do without help and what they can achieve with guidance and encouragement.

Vygotsky

A Russian psychologist who is best known for his theory of social development, which argues that community and language play central roles in the process of making meaning.

Concrete-Operations

A stage in Jean Piaget's theory of cognitive development where children aged approximately 7 to 11 years can logically reason about concrete situations but not abstract ones.

Formal-Operations

The final stage in Piaget's theory of cognitive development, characterized by the ability to think abstractly and reason logically.