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A College Graduate in 1972 Found a Job Paying $7,200,when

question 164

Multiple Choice

A college graduate in 1972 found a job paying $7,200,when the consumer price index (CPI) was 21.9.A college graduate in 2000 found a job paying $32,000,when the CPI was 95.4.The 1972 graduate's job paid _______ in nominal terms and ______ in real terms than the 2000 graduate's job.


Definitions:

Aggregate Demand

The total demand for all goods and services within an economy at a given overall price level and in a given time period.

Pollution Tax

A tax imposed by governments on emissions generated by businesses and industries, aimed at reducing environmental damage.

Marginal Benefit

The additional benefit received from consuming one more unit of a good or service.

Pollution Tax

A tax levied on activities that produce pollution in order to incentivize the reduction of environmental externalities.

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