Suppose That the Consumer Price Index Fell by 4% Between

question 11

Multiple Choice

Suppose that the consumer price index fell by 4% between this year and last year,and the price of a typical automobile fell by 3%.Which of the following is TRUE?

• A) The nominal price of a car increased.
• B) The real price of a car increased.
• C) The real price of a car did not change.
• D) The real price of a car decreased.

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Definitions:

Cultural Diversification

Cultural diversification is the process or state of being characterized by a variety of cultural expressions, traditions, languages, or practices within a society or among groups.

Multiculturalism

The presence of, or support for the presence of, several distinct cultural or ethnic groups within a society.

Concrete Experience

Direct involvement in and interaction with events or activities, leading to the acquisition of knowledge through practical engagement.

Rights Revolution

A period of significant social, political, and legal changes that expanded civil, political, and human rights within a society.