If the Price of Used Automobiles Increased Dramatically Relative to All

question 40

Multiple Choice

If the price of used automobiles increased dramatically relative to all other prices,and the demand for all goods remained the same,which of the following would most likely occur?

• A) The GDP price index would decrease less than the CPI.
• B) Both the GDP price index and the CPI would decrease.
• C) The GDP price index would increase more than the CPI.
• D) The CPI would increase more than the GDP price index.
• E) Both the GDP price index and the CPI would increase by the same amount.

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Definitions:

Executive Positions

High-level roles within an organization responsible for making broad corporate decisions, overseeing operations, and setting strategic goals.

Organization-Wide Norms

Accepted standards of behavior and practices that are shared across all levels of an organization.

Power

The ability or capacity to influence or control the behavior of others, often through the possession of authority or resources.

Habit

A regular behavior or practice that is done frequently and often unconsciously.